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Franchise Articles - UFOC / Agreements

UFOC - Individual State Requirements

By: Maria Cardinal - Freelance franchise contributor to RedHotFranchises.com

Individual State Requirements

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These laws may add additional disclosures or rules about franchise agreement terms. As an example of this, there are a number of states that require that the legal venue for any dispute must be in their state rather than in the state where the franchise company is located. These types of additional requirements vary from state to state but any that are appropriate to your situation in your state should be disclosed in the UFOC you receive.

The following "filing states" currently have additional requirements above and beyond the requirements of the FTC:

California	South Dakota
New York	Maryland
Hawaii	Virginia
North Dakota	Michigan
Illinois	Washington
Rhode Island	Minnesota
Indiana	Wisconsin

What About Business Opportunities?

The states and the laws referred to in this article are for franchise opportunities only and do not, in any way, regulate the sale or offering of business opportunities. There are currently business opportunity laws and regulations on both national and state levels

In addition to the laws that mandate disclosure, there are also some states that have passed specific laws to further protect franchisees in that state.