The current COVID-19 pandemic has disrupted businesses across the globe, and franchises are no exception. We have some suggestions for franchisors to consider.
Today, the Federal Trade Commission (the “Commission”) announced an amendment to its “Disclosure Requirements and Prohibitions Concerning Franchising” (16 C.F.R. Part 436) (the “Franchise Rule”) revising the monetary limits for three of the listed exemptions.
The California Department of Business Oversight announced that it is discontinuing online franchise document access
Indiana announced that it would extend the registration periods for franchisors that are currently set to expire between March 16, 2020 and May 31, 2020.
The Financial Accounting Standards Board (“FASB”) unanimously voted today to propose delaying the effective date for its Accounting Standards Codification® Topic 606 (“ASC 606”), Revenue From Contracts With Customers, for franchisors that are not public business entities.
The Washington Department of Financial Institutions recently updated its filing requirements for franchisors.
On April 2, 2020, the Virginia State Corporation Commission (“SCC”) further extended the deadlines for franchisors to submit applications to renew their existing franchise registrations in response to the COVID-19 pandemic.