IFA Calls on FTC to Abandon Overreach

In formal comments to the Federal Trade Commission’s (FTC) re-opened Request for Information (RFI) on franchisor practices and franchise agreements, the International Franchise Association (IFA) urged the FTC to respect the boundaries of the authority and adhere to its rulemaking requirements, all of which were disregarded by the FTC’s recent Policy Statement and Staff Guidance. The comments further highlight the damage potential regulation could have for viability of the entire franchise business model.

IFA Criticizes Final FTC Negative Option Rule

“The final rule on negative options is the latest troubling example of this power-hungry FTC leaping without looking,” said Michael Layman, IFA senior vice president of government relations and public affairs. “The FTC has not conducted an empirical cost-benefit analysis to assess the proposed rule’s impact on small businesses, and yet it has hastily imposed this unnecessarily regulation that will hurt many franchise businesses and consumers alike by robbing them of convenience, time savings, a streamlined transaction experience, and lower costs. The rule not only disrupts a process that is working for the benefit of both consumers and small business owners, but also adds another layer of complexity into a system of billing already regulated by a host of federal and state regulations.”

IFA Endorses Congressional Candidates Ahead of November Election

The International Franchise Association (IFA) today endorsed nine bipartisan candidates ahead of the November election, applauding their leadership on pro-business policies supporting America’s locally owned franchise small businesses. Named a “Friend of Franchising,” IFA endorsed candidates running for U.S. Senate and the U.S. House of Representatives, following several primary endorsements earlier this year.

IFA Brings Franchise Community to D.C. to Advocate for Tax Policy, Joint Employer

The International Franchise Association (IFA) this week hosted nearly 350 franchisors, franchisees, and suppliers in Washington, D.C., to advocate for policies impacting the franchise business model while hearing from a number of lawmakers and political experts on the state of play in Washington ahead of the 2024 election. IFA also presented its bipartisan Legislator of the Year awards to six franchise champions in Congress.

IFA Applauds Massachusetts Court Ruling In Patel v. 7-Eleven

“The momentous decision in Massachusetts will have a far-reaching impact toward protecting franchisees’ roles as entrepreneurs and business owners,” said Michael Layman, IFA senior vice president of government relations and public affairs. “Classifying franchisees as employees, as the plaintiffs unsuccessfully argued, would have undermined franchisee independence and led to an untenable situation for franchisors and franchisees alike, and undoubtedly created confusion, uncertainty, and an increase in litigation in the Commonwealth. We are pleased that common sense prevailed in the Bay State and hope that its precedent impacts the broader independent contractor debate in Washington, D.C. and state capitals across this country.”

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