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Status of Proposed Franchise Legislation

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Washington, DC--A bill, SB 423, making technical corrections to the franchise registration process in Indiana has been approved by the House and Senate and was signed into law by Gov. Frank O'Bannon on March 14. Included in the bill is the repeal of an earlier prohibition of publishing an advertisement for a franchise without first filing a copy of the ad with the state securities commissioner.

In Minnesota, last year, three representatives introduced a bill, HF 2013, that would expand the requirement of "good cause" before a franchisor could terminate or not renew a franchise agreement, effectively granting a franchise agreement "in perpetuity." The bill, which was held in committee, has now expired. -International Franchise Association