Advertising Franchises for Sale: Requirements and Restrictions


Summary

This practice note examines the law governing franchise sales advertising. All advertising used to promote franchise sales, including any promotional material given or mass communicated to prospective franchisees to influence their investment decisions, must be filed with state authorities in six franchise registration states before it can be used in those states. In non-registration states, the Federal Trade Commission Franchise Rule, and sometimes state consumer protection laws, alone regulate the content of franchise advertising.