The CFA Applauds the Introduction of Pro-Franchisee Legislation

Washington, D.C. (July 24, 2015) — The Coalition of Franchisee Associations (CFA) is applauding Rep. Keith Ellison for introducing the Fair Franchise Act of 2015 and the Small Business Administration (SBA) Franchise Loan Transparency Act. These bills protect franchisees from often imbalanced franchise agreements, which, for the most part, are non-negotiable and provide greater transparency to prospective franchisees before they invest significant financial resources toward the purchase of a franchise.

“We thank Rep. Ellison for his leadership in introducing these bills. The Fair Franchise Act addresses many of our key principles as stated in the Universal Franchisee Bill of Rights,” said CFA Chairman Keith Miller. “We also appreciate the support of initial cosponsors, Rep. Conyers, who worked closely with Rep. Coble on similar legislation in the late 1990’s, and Rep. Huffman, who four years ago authored legislation in California to protect franchisees. The CFA looks forward to working on the issues addressed by the legislation with stakeholders in the industry toward a solution that protects franchisee profitability and equity.”

Coalition of Franchisee Associations Adds Three Member Associations

Washington, D.C. (Aug. 6, 2015) — The Coalition of Franchisee Associations (CFA) membership has grown its membership by welcoming the Eastern VA 7-11 Franchisee Owners Association, the South Florida Franchise Owners Association of 7-Eleven and the National TUPSSO Franchise Owners Association.

“We are pleased to have these associations as our newest members,” says Keith Miller, CFA chairman. “As our membership grows, we are in a better position to represent all franchisees. We will continue to work to represent their interests to strengthen franchising by ensuring that the franchisees who invest in our local communities have a voice in working toward a more balanced and profitable position.”

Committed solely to franchisees, represents nearly 39,000 franchise owners and more than 87,000 locations and 1.4 million employees. The organization’s growth is a testament to franchisees recognizing the CFA’s efforts in fighting for franchisee rights, pro small-business legislation and against over-regulation.

California Governor Signs Franchise Bill into Legislation

Washington, D.C. (Oct. 12, 2015) — Gov. Jerry Brown of California signed a new franchise protection law, CFA-sponsored AB 525, Sunday afternoon that gives franchise owners in California the strongest rights in the United States.

“We thank Governor Brown for signing AB 525 and taking this step to better protect the rights and investments of the California franchise owners,” said Keith Miller, chairman of the Coalition of Franchisee Associations (CFA). “This journey started almost five years ago, when then Assemblyman Jared Huffman introduced a comprehensive franchise bill. While not everything wished for was achieved, the legislation signed is a significant achievement. It will give franchisees more rights against termination. It will add transparency to the transfer process. It will put meaningful remedies for improper terminations or non renewals. And most importantly, it acknowledges that franchisees own the equipment and fixtures in their business, and that franchisors must purchase them to take possession upon termination or expiration of the franchise agreement.”

Earlier this year, the CFA and the International Franchise Association (IFA) announced they had worked together to find agreement on several amendments to the bill that would help to ensure that franchising remains an important part of the California economy.“The process of bringing the legislation into existence is a hallmark of a sea change in the franchising industry. With the CFA working together with the IFA to balance and strengthen the law’s provisions to protect the rights of both business owners and brand stewards, franchising can be seen as the powerful entrepreneurial vehicle and leading national jobs generator that it has become. Franchisees are finally being recognized and protected as the serious investors that they are,” said CFA Vice Chairman Rob Branca.

Coalition of Franchisee Associations Supports Introduction of Legislation to Block Proposed Overtime Regulations

WASHINGTON, D.C. (March 22, 2016) – The Coalition of Franchisee Associations (CFA), the largest franchisee-only association in the country, supports the introduction of legislation to block the U.S. Department of Labor’s (DOL) proposed overtime rule. Sponsored by Sens. Tim Scott (R-SC) and Lamar Alexander (R-TN) and Reps. Tim Walberg (R-MI-07) and John Kline (R-MN-02), the Protecting Workplace Advancement and Opportunity Act seeks to nullify the rule and calls for further analysis of the impact on the economy.

“We must always remind legislators and regulators that while we often have ‘Wall Street’ names on the front of our business, we are truly local ‘Main Street’ small businesses that struggle in today’s economy to make a living and support our families,” said CFA Chairman Keith Miller. “We are not against any increases, but those increases need to be based on the economic realities across the country. One size fits all is often a bad measure.”

CFA does not oppose a measured, rationally based increase in the threshold, which is supported by publicly reported, thoroughly vetted data.

“Our members do oppose such a dramatic increase, which does not take into consideration the impact on our businesses,” said Rob Branca, CFA vice chairman. “We also object to automatic increases in the threshold tied to an index without the legislative or regulatory oversight that monitors then-prevalent economic conditions. Indeed, increases in any index will necessarily reflect increases to all other costs borne by businesses in addition to labor costs.”

“This bill helps protect franchisees by requiring regulators to come face-to-face with the economic impact of the language they draft,” said Misty Chally, CFA executive director.