In 2007, after 12 years of rulemaking activity, the Federal Trade Commission
issued the first revision to the FTC franchise disclosure rule since it was
promulgated in 1979. The Commission amendments to the rule include separating
requirements for franchising and business opportunity ventures. These
amendments will streamline the disclosure requirements, minimize compliance
costs, and respond to changes in technologies and market conditions. This
volume provides materials to help professionals comply with the new rules and
includes: Text of the new franchise and business opportunity rules. The FTC’s
Statement of Basis and Purpose. Highlights and Analysis by David J. Kaufmann
and David W. Oppenheim. Comparison chart of the new franchise rule with the
UFOC Guidelines. Sample disclosure document for complying with the franchise
rule.
HIGHLIGHTS AND ANALYSIS by David J. Kaufmann and David W. Oppenheim
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Exhibit A: Summary of Disclosure Variations from UFOC Guidelines
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Exhibit B: Model Franchise Disclosure Document
FTC NOTICE
STATEMENT OF BASIS AND PURPOSE
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Introduction
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The Legal Standard for Amending the Rule
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Section-by-Section Analysis of Part 436
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Section-by-Section Analysis of Part 437
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Regulatory Analysis and Regulatory Flexibility Act Requirements
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Paperwork Reduction Act
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Final Rule Language
PART 436 - DISCLOSURE REQUIREMENTS AND PROHIBITIONS CONCERNING FRANCHISING
PART 437 - DISCLOSURE REQUIREMENTS AND PROHIBITIONS CONCERNING BUSINESS
OPPORTUNITIES
TABLE OF COMMENTERS