Legal Briefing

 

 

 
Articles
What Restaurants Need to Know about the Franchise Law
Alisa P. Cleek and Shawntel R. Hebert

Whether your restaurant is a franchisor or franchisee, the New Franchise Law provides benefits to your business. Approved by the Federal Trade Commission (“FTC”) on January 22, 2007, the Amended Franchise Disclosure Rule (“Amended Rule”) took effect on July 1, 2007 and became mandatory on July 1, 2008. It is the most notable change in franchise sales regulation in over a decade and brings the federal law up to date with the ever-changing franchisor-franchisee marketplace.
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The Dining Downfall
Douglas J. Miller

As many industries have been affected by the economic slowdown, the restaurant industry is no different. The rising cost of food and gas, along with declining incomes has contributed to the slowdown in the restaurant industry and forced many restaurants to declare bankruptcy or close their doors.

Although reports show there has been a decline in revenue in the restaurant industry, according to the National Restaurant Association, consumers will continue to frequent restaurants. Nina Zagat, co-founder of the Zagat survey recently reported that consumers are still eating out, however, they are looking for more healthy options and foregoing desserts and drinks with their meals. Reports show that people are still visiting their favorite family–style restaurants.


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