Home -> Law Blog Directory -> International Law Blogs -> Misleading Advertising Law

International Law

: Misleading Advertising Law

Papa Murphy's and Fair Franchise Relations

Here is what Clarice Turner, the President of Papa Murphy's says about the important of fair franchising:

"Listening and really making an effort to understand the needs of the franchisees, and that those may be different across the country or by size.

And then trying to find common ground and demonstrate that you truly care.

You may not always agree, but it's critical to understand each other's perspective.

Most franchisors will have a committee structure within a franchise advisory board, which we do as well.

One of the things that is a really important best practice here is to truly make those committees working committees so that people have skin in the game.

Alright, but what does the latest UFOC say or disc lose?

1. Mark Laramie, an executive of Quiznos, was the President in 2004, after joining in 2002. Quiznos is a noted anti franchisee system. This is not good.

2. In 2003, vendor rebates in the amount $1.8 million, were given to the franchisees, but the franchisor retained the interest. There is no commitment to continue this arrangement.

3. But over 30% of the advertising dollar goes to pay the franchisor's corporate staff.

4. No protected or exclusive territory.

So overall, I would rank this about C+ on a scale of fairness.

Always read the UFOC to learn what is behind the franchisor's pretty language - in this case, not much.

Related articles by Zemanta

• What will the Franchisor Do for You?
• Business Intelligence: Franchising Still Fraught With Pitfalls Despite New F.T.C. Rule
• License to Lie, Cheat and Steal
• Tim Hortons sued by franchisees over frozen doughnuts
• What's a franchise territory worth?

Full post as published by Misleading Advertising Law on July 08, 2008 (boomark / email).