When “Common Sense” isn’t so common – Franchising Regulation

Franchise, Regulation, FTC

Photo by Sora Shimazaki

The American Association of Franchisees and Dealers (AAFD.org) was founded in May of 1992 with its original mission to “Bring Fairness to Franchising” and it hasn’t stopped since. In fact, its “Franchisee Bill of Rights” was promulgated in 1996 and still stands today as the definitive objectives to be achieved by Cherished Franchisees.

When “Common Sense” isn’t so common.
Request for Information – Franchising Regulation – FTC

Original Published Date: May 19, 2023
Author: WorldWise Franchise

Anti-Franchisee lobbying organizations are “worried” and “concerned” that the overwhelming majority of comments to the Federal Trade Commission (Requests for information concerning Franchising) are by Cherished Franchisees concerning many of the issues we have been promoting on behalf of Franchisees are now bubbling to the top.

So much so that they are offering to literally write responses on behalf of those of the same “ilk” that oppose anything that might benefit Cherished Franchisees; you’d expect nothing less from a trade/lobbying organization who’s sole purpose is to oppose fundamental fairness and “Total Quality Franchising” on behalf of Franchisees. “Fair Franchising Standards” is not part of their lexicon. Expected as well when you consider that nearly 50% of the revenue for one particular organization amounts to those monies being used for salaries and benefits for those employed by it.

When inside the beltway of DC, never having to have mopped a floor, cleaned a room, drove a van in a service area, climbed a roof, scrubbed a grease trap, or owned a franchise this is great work if you can get it and the perks are plentiful. Cherished Franchisees don’t have donors ready to write checks so they can meet Friday’s payroll and monthly expenses. Its hard work.

AAHOA, The Asian American Hotel Owners Association (aahoa.com) , is Americas Largest Hotel Organization representing 60% of all hotels owned, 20,000 thousand hoteliers, and some 36,000 hotels. Founded in 1989, their “12 Points of Fair Franchising” strongly state their position as a unified and incredibly viable force to perfect and enhance the franchise model for Cherished Franchisees, its own and others.

The American Association of Franchisees and Dealers (AAFD.org) was founded in May of 1992 with its original mission to “Bring Fairness to Franchising” and it hasn’t stopped since. In fact, its “Franchisee Bill of Rights” was promulgated in 1996 and still stands today as the definitive objectives to be achieved by Cherished Franchisees. The desire, of course, is to accomplish this in conjunction and collaboration with enlightened and fair franchisors who know that happy Franchisees make for the strongest of franchise systems.

CFA, The Coalition of Franchise Associations (thecfainc.com) founded in 2007, was formed with the mission “To leverage the collective strengths of franchisee associations for the benefit of the franchisee community”. The “Universal Franchisee Bill of Rights” outlines the necessary elements of fair franchising. The “Universal Franchisee Bill of Rights” is a hybrid compilation from significant work that has been done by the AAFD, AAHOA, AFA, CFA Fair Franchising Committee, individuals from those prominent organizations, and other friends and supporters of Franchisees. It is the intent that we create a “Universal Franchisee Bill of Rights” that no one organization can claim as their own, but members of the greater franchise community can endorse.

As to the title of this article, “When “Common Sense” isn’t so common” we find the reasoning and rational of those opposed to these organizations as well as what they stand for and promote as being without plain and fairly straightforward common sense. You’ll find posted within this article the stated objectives of each of the organizations and for all intent and purpose, their combination as being a representative sample of “common sense” on behalf of Cherished Franchisees.

To deny that any of the standards and statements made belies clear common sense. Cherished Franchisees know it, franchise attorneys know it, anti-Franchisee trade and lobbying organizations know it, Legislators know it, and of course, the Federal Trade Commission knows it better than most. Thus the FTCs “Request for Information” concerning franchise regulation.

As of the date and time of this writing, there are 248 posts overwhelming in favor of franchise regulation change: (https://www.regulations.gov/docket/FTC-2023-0026/comments)

You’ll note also that many are marked “anonymous” for fear of retribution by their franchisors which unfortunately has proven itself to be true in far too many cases.

Now is YOUR TIME to add your voice, to express your opinions and to be heard by the agency that counts most at this time, The Federal Trade Commission.

We can’t stress the importance of taking advantage of this opportunity. Please submit your comments. Here is the link to submit your comments.

https://www.regulations.gov/commenton/FTC-2023-0026-0001

To look at the full Request for Information, you can see it here:

https://www.ftc.gov/system/files/ftc_gov/pdf/Franchise-RFI.pdf

Should you require any additional information, feel free to contact us directly.

Document Links:

AAFD Franchise Bill of Rights

AAHOA 12 Points of Fair Franchising

CFA – Universal Franchise Bill of Rights

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