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Q: Clarification franchise law ( No Answer,   1 Comment )
Question  
Subject: Clarification franchise law
Category: Business and Money > Small Businesses
Asked by: bakdoosan-ga
List Price: $10.00
Posted: 13 Oct 2004 10:10 PDT
Expires: 12 Nov 2004 09:10 PST
Question ID: 414291
What to do if my franchisor force me to buy more than doubled priced
supplies and equipments than most other suppliers?
I am currently running a franchise store at Colleyville,TX (Tarrant County)
How do I protect my interest from unfair business practice?
Answer  
There is no answer at this time.

Comments  
Subject: Re: Clarification franchise law
From: enlighteened-ga on 13 Oct 2004 12:59 PDT
 
franchise law: NEW RULES THE FTC IS THE PLACE TO LOOK...  There may be
a loop hole in the new rules.


http://www.ftc.gov/os/2004/08/0408franchiserulerpt.pdf


A franchise 

When you entered into the agreement you agreed to be franchised that
is to say you are exclusively buying from the Franchisee.  That is the
entire point of the franchise.  I sell you a prepackaged product that
you are fimiliar with and like. Then I may even take you to a few
extremely successful stores/shops/etc.  and WOO you with how easy it
is going to be.  Now if you look at your Franchise agrrement it likely
or 100% says you will by all your products from the Franchisee.

Not to worry you are not out your money I have seen pizza places just
throw out the Franchisee once the business was doing well.

fran·chise    ( P )  Pronunciation Key  (frnchz)
n. 

Authorization granted to someone to sell or distribute a company's
goods or services in a certain area.
A business or group of businesses established or operated under such
authorization.
The territory or limits within which immunity, a privilege, or a right
may be exercised.

By buying a Franchise you are bound to deal with the person that sold
you the product,  by diffintion.

But as I said there are new rules...
http://www.ftc.gov/os/2004/08/0408franchiserulerpt.pdf

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