The International Franchise Association (IFA) today announced that California’s AB 257, or the FAST Act, has been officially postponed until the November 2024 election, giving California voters the opportunity to weigh in on the law before it goes into effect. The referendum effort to qualify the measure for the ballot was led by the Save Local Restaurants coalition, co-chaired by IFA, the National Restaurant Association, and the U.S. Chamber of Commerce.

IFA kicked of its 2023 Open for Opportunity Roadshow in the Twin Cities. The Minnesota Roadshow stop included back-of-house tours at local franchise businesses and two roundtable discussions with franchisees, local and federal elected officials, and business and community leaders.

Today, the Sacramento Superior Court ruled in favor of the Save Local Restaurants coalition, confirming that no enforcement of AB 257, or the FAST Act, can take place while the signatures from over one million Californians who signed the petition against AB 257 are verified. The lawsuit was in response to state officials declaring that they would unconstitutionally move forward with the law despite over 100-years’ precedent in the California referendum process.

Sacramento Superior Court Puts AB 257 on Hold for Review After Save Local Restaurants Lawsuit

Today, the Save Local Restaurants coalition, led by the International Franchise Association, the National Restaurant Association, and the U.S. Chamber of Commerce, filed a lawsuit to ensure California’s direct democracy process is respected. The state’s Constitution dictates that, as part of the referendum process, laws cannot go into effect until voters have an opportunity to exercise their voice and vote on the proposed legislation. On December 5, 2022, the coalition announced more than one million California voters have asked for the opportunity to do exactly that with AB 257, or the FAST Act.

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