A bill to provide protection of franchisees against the possibility of arbitrary franchise terminations; to establish fair procedures for protecting the rights of franchisees and franchisors upon expiration of a franchise; and to protect the quality of franchise systems for the benefit of consumers, franchisors, and franchisees.
Fair Franchise Practices and Distribution Practices Reform Act - Prohibits a franchisor from terminating a franchise during the term of the franchise agreement and from failing to renew the relationship at the expiration of the franchise term unless the termination or non-renewal is based upon specified grounds and executed in accordance with specified notice requirements. Requires 60 days' notice of termination or nonrenewal in most cases.
Makes the provisions of this Act enforceable by private civil action in the appropriate U.S. district court. Authorizes injunctive relief and money damages.
Preempts State law in the subject areas with which this Act deals, including termination and non-renewal of franchise relationships and the notice applicable thereto, unless State law provisions are the same as the applicable provisions of this Act.
Referred to House Committee on Interstate and Foreign Commerce.
Introduced in House
Introduced in House
Referred to House Committee on Interstate and Foreign Commerce.
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