A Guide to the Franchise Disclosure Document

Summary

This practice note examines in detail the required contents of a franchise disclosure document as dictated by the Federal Trade Commission (FTC) Franchise Rule (the FTC Franchise Rule or Rule). The practice note also addresses additional franchise document disclosure requirements for states that have adopted franchise registration and disclosure laws not preempted by the FTC Franchise Rule, which disclosures are governed by the 2008 North American Securities Administrators Association (NASAA) Franchise Guidelines.