
Does Extending or Renewing a Franchise Agreement trigger a Franchisor's FDD Disclosure Obligation?
No. Under the Federal franchise Rule the extension or renewal of a franchise agreement does not constitute a franchise sale and therefore does not trigger a franchisors FDD disclosure obligation provided that there has been no interruption in the franchisee's business operations and provided that the renewal agreement does not differ materially from the original agreement.
Complimentary Books and Reports
- Take Your Business from Local Success to National Franchise with The 90 Day Franchise Launch Program
- An Entrepreneurs Guide to Purchasing a Business or Franchise
- ENDWISE: The Guide to Selling Your Business with Peace of Mind
- The New York and New Jersey Partnership Dispute Guide
- Franchise Counsel Program