The International Franchise Association (IFA) today urged the Federal Trade Commission (FTC) to reject a “blanket ban on noncompete clauses in franchise agreements,” highlighting that an across-the-board ban would harm franchisors and franchisees, damaging the franchise business model. The comments are in response to the Commission’s recent Notice of Proposed Rulemaking for its proposed “Noncompete Clause Rule.”

The International Franchise Association (IFA) announces its support for the Employee Rights Act (ERA) of 2023, introduced today by U.S. Sen. Tim Scott (R-SC) and U.S. Rep. Rick Allen (R-GA) with support from Senate Republican Leader Mitch McConnell (R-KY). Among other key provisions, the Act will clarify the joint employer standard and protect American workers’ freedom of choice in the workplace.

The International Franchise Association (IFA) today released the following statement on the final, amended version of Arkansas HB 1783, legislation that could have devastated franchise operations in the state and hurt consumer choice. The amended bill, which is now only a technical change to existing statute after significant local business opposition, passed last week and was signed into law today.

IFA today released the following statement on the Small Business Administration (SBA)’s publication of the final rule changing how affiliation is determined for the purpose of identifying SBA lending program eligibility and the elimination of the Federal Franchise Directory.

Over 110 local businesses in Arkansas have signed onto a letter urging the Arkansas State Legislature to reject HB 1783, outlining concerns about the proposed legislation that would significantly alter how franchises operate, deterring franchises from opening in Arkansas, and negatively impacting consumer choice.

We are writing in opposition to HB 1783. This legislation has far-reaching and harmful ramifications for franchisors, franchisees, and the contributions of these small and large businesses on the Arkansas economy. HB 1783 is a way to use the legislature to resolve a dispute between parties to private contracts in favor of one side. HB 1783 represents government overreach in its most obvious form, by inserting the state into commercial contracts freely entered by two private parties. If enacted, the proposed legislation would significantly alter the franchise relationship and institute the most extreme franchise regulation of any state, placing it far beyond the onerous regulatory regimes of California and New York.