FRANCHISE LAW
Franchise Law Articles
Plain-English analysis of FDD reviews, franchise agreements, exit strategy, and ongoing counsel for franchisees and franchisors.
479 articles
How to Keep Franchisees Engaged for the Long Term
You keep franchisees engaged for the long term by making them profitable, giving them a real voice, recognizing performance, and treating them fairly — and the …
How to Launch a Franchise: A Founder's Checklist
Launching a franchise runs on two tracks at the same time: building the legal franchise system (trademark, Franchise Disclosure Document, state registrations, …
How to Make Your Franchise Agreement Legally Sound
A franchise agreement is legally sound when it does three things: matches the Franchise Disclosure Document you gave the prospect, complies with the FTC …
How to Set Up a Franchise Agreement: What to Include
To set up a franchise agreement, you draft a contract that licenses your brand, sets the rules of operation, and defines the money flow — but the agreement …
How to Update Your FDD and Franchise Agreement
A franchisor updates its FDD on two tracks — a full annual update within 120 days of fiscal year-end and material-change revisions during the year — while the …
How to Update Your Franchise Agreement & FDD
Updating a franchise system means two different jobs: updating the FDD on the schedule the FTC Franchise Rule requires, and amending the franchise agreement …
Intellectual Property in Your Franchise Agreement
A franchise is built on licensed intellectual property: the franchisor owns the brand, systems, and trade secrets, and your franchise agreement grants you a …
Is Your Business Ready to Franchise? A Checklist
A business is ready to franchise when it is profitable, proven, documented, and replicable by someone other than you — four tests most concepts fail before they …
Keeping Your Franchise Agreement Legally Compliant
Keep your franchise agreement compliant by reviewing it against federal and state franchise law every year and revising it whenever the rules change — not after …
Key Clauses Every Franchise Agreement Needs
A franchise agreement needs roughly ten core clauses to do its job: the grant and territory, term and renewal, fees, the trademark license, training and …
Managing Franchisee Performance and Expectations
Managing franchisee performance starts with the franchise agreement: a franchisor can hold franchisees to performance standards only to the extent the agreement …
Marketing & Advertising Rules in Franchise Deals
Marketing in a franchise system runs on rules set by the franchise agreement, and at its center is the advertising fund — a pool of franchisee contributions the …
Marketing a Franchise Across Different Audiences
Marketing a franchise to different audiences — first-time owners, career changers, immigrant entrepreneurs, veterans, or operators in a new region — is good …
Marketing a Franchise to Multi-Unit Operators
Marketing a franchise to multi-unit operators means selling experienced operators the right to open several locations at once — almost always through an area …
Marketing a Franchise: Showcasing Your Strengths
Showcasing your franchise’s unique selling points is how you stand out to prospective owners — but under the FTC Franchise Rule (16 C.F.R. Part 436), how …
Marketing the Value of Your Franchise Agreement
You can market the value of your franchise agreement — but the FTC Franchise Rule strictly limits what you can promise about earnings, and the agreement itself …
Negotiating Your Franchise Agreement: A Franchisor Guide
Franchise agreements can be negotiated — and a franchisor that knows what to flex and what to keep uniform attracts stronger franchisees without breaking FDD …
Protecting Intellectual Property When You Franchise
You protect your intellectual property when franchising by securing each type of IP before you grant a single franchise, then using the franchise agreement to …
Quiznos: A Franchise Supply-Chain Cautionary Tale
Quiznos is the clearest cautionary tale in modern franchising about franchisor self-dealing on supplies — and the warning was disclosed all along, in FDD Item …
Reading the FDD After a Layoff: What Matters
If you’re funding a franchise with savings or a severance check after a layoff, the Franchise Disclosure Document (FDD) is the most important thing …
