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Proposed “Universal Franchisee Bill of Rights”

Charles Internicola

by Charles Internicola
National Business and Franchise Lawyer

Date: 08/30/2011 | Category: Buy a Franchise | No comments

The Coalition of Franchisee Associations‚ Inc. (the "Association") has recently proposed a "Universal Franchisee Bill of Rights" that‚ according to the association is been drafted and designed to cure franchise agreement "imbalance[s]…that favor the franchisor".  The proposal is an excellent effort and certainly something that prospective‚ current franchisees and franchisors should evaluate.

From a franchisee perspective I must again caution that you must take a proactive approach in evaluating and assessing a prospective franchise opportunity.  Too many times franchisees do not undertake the necessary due diligence prior to buying a franchise.  We will be reviewing this proposed bill of rights in more detail.  My initial concern is that from a legal standpoint implementation by franchisors may be risky when faced with a franchisee that does not act in good faith.  However‚ the point and goal of the Association is one of "balance between franchisor and franchisee".  I am not only a fan of balanced relationships but I also believe that "balance" makes for good business.

We will be reviewing this proposal in more detail. 

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