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When Does A Franchise Amendment Application Need To Be Filed?

A franchise amendment application needs to be filed if you have a franchised business in a franchise registration state and a material change has been made to your Franchise Disclosure Document ("FDD"). Franchise Disclosure Documents need to be updated annually but if material changes should be made quarterly. If the change is to Item 19 (financial performance representation section) of the FDD the change must be made immediately and a franchise amendment application should be followed promptly with the franchise registration state.

Charles Internicola

by Charles Internicola
National Business and Franchise Lawyer

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