State Specific Franchise Laws for Franchisors

The offer and sale of a franchise requires compliance with federal and state franchise laws. Franchisors must develop, maintain, register, and disclose a uniform Franchise Disclosure Document (FDD). The FDD must be registered in the franchise registration states, filed in the franchise filing states, and disclosed in every state to a prospective franchisee. Franchisors must manage and maintain their FDD, franchise disclosures and franchise relationships in compliance with a broad range of state franchise regulations and state franchise relationship laws.

Federal Franchise Laws

At the federal level franchising is regulated by the Federal Franchise Rule and franchise regulations implemented and enforced by the Federal Trade Commission. Franchisors must disclose a properly issued and current franchise disclosure document 14 days before offering or selling a franchise. Under the federal rule, franchise compliance is largely self-regulated and franchisors are not required to file or register their FDD with any federal agency.

State Franchise Laws

At the state level there are various franchise registration, filing, disclosure, and relationship laws that are imposed on franchisors and that vary from state to state. States that require FDD registration are known as the franchise registration states and, typically, impose the most stringent franchise laws and regulations. Franchise registration states require annual FDD registration, franchise filing states require either one-time or annual franchise filings, and non-registration states do not require any FDD registration or filings. Below we include links and information related to the state specific franchise laws. The Franchise map is interactive and links to state specific pages that outline the franchise requirements for each state.

STATE FRANCHISE REGISTRATION STATUS AND FRANCHISE LAWS


Alabama

Registration or Filing Required? No
Business Opportunity Laws? No

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Alaska

Registration or Filing Required? No
Business Opportunity Laws? Yes

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Arizona

Registration or Filing Required? No
Business Opportunity Laws? Yes

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Arkansas

Registration or Filing Required? No
Business Opportunity Laws? No*

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California

Registration or Filing Required? Yes, Registration
Business Opportunity Laws? Yes

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Colorado

Registration or Filing Required? No
Business Opportunity Laws? No

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Connecticut

Registration or Filing Required? Yes, Filing
Business Opportunity Laws? Yes

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Delaware

Registration or Filing Required? No
Business Opportunity Laws? Yes

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District of Columbia

Registration or Filing Required? No
Business Opportunity Laws? No

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Florida

Registration or Filing Required? Yes, Filing
Business Opportunity Laws? Yes

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Georgia

Registration or Filing Required? No*
Business Opportunity Laws? Yes

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Hawaii

Registration or Filing Required? Yes, Registration
Business Opportunity Laws? Yes

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Idaho

Registration or Filing Required? No
Business Opportunity Laws? No

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Illinois

Registration or Filing Required? Yes, Registration
Business Opportunity Laws? Yes

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Indiana

Registration or Filing Required? Yes, Registration
Business Opportunity Laws? Yes

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Iowa

Registration or Filing Required? No
Business Opportunity Laws? Yes

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Kansas

Registration or Filing Required? No
Business Opportunity Laws? No

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Kentucky

Registration or Filing Required? Yes, Filing
Business Opportunity Laws? Yes

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Louisiana

Registration or Filing Required: No*
Business Opportunity Laws? Yes

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Maine

Registration or Filing Required? No*
Business Opportunity Laws? Yes

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Maryland

Registration or Filing Required? Yes, Registration
Business Opportunity Laws? Yes

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Massachusetts

Registration or Filing Required? No
Business Opportunity Laws? No

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Michigan

Registration or Filing Required? Yes, Registration
Business Opportunity Laws? Yes

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Minnesota

Registration or Filing Required? Yes, Registration
Business Opportunity Laws? Yes

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Mississippi

Registration or Filing Required? No
Business Opportunity Laws? No

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Missouri

Registration or Filing Required? No
Business Opportunity Laws? No

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Montana

Registration or Filing Required? No
Business Opportunity Laws? No

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Nebraska

Registration or Filing Required? Yes, Filing
Business Opportunity Laws? Yes

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Nevada

Registration or Filing Required? No
Business Opportunity Laws? No

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New Hampshire

Registration or Filing Required? No
Business Opportunity Laws? Yes

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New Jersey

Registration or Filing Required? No
Business Opportunity Laws? Yes

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New Mexico

Registration or Filing Required? No
Business Opportunity Laws? No

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New York

Registration or Filing Required? Yes, Registration
Business Opportunity Laws? Yes

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North Carolina

Registration or Filing Required? No*
Business Opportunity Laws? Yes

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North Dakota

Registration or Filing Required? Yes, Registration
Business Opportunity Laws? Yes

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Ohio

Registration or Filing Required? No
Business Opportunity Laws? Yes

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Oklahoma

Registration or Filing Required? No
Business Opportunity Laws? Yes

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Oregon

Registration or Filing Required? No
Business Opportunity Laws? Yes

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Pennsylvania

Registration or Filing Required? No
Business Opportunity Laws? No

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Rhode Island

Registration or Filing Required? Yes, Registration
Business Opportunity Laws? Yes

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South Carolina

Registration or Filing Required? No*
Business Opportunity Laws? Yes

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South Dakota

Registration or Filing Required? Yes, Registration
Business Opportunity Laws? Yes

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Tennessee

Registration or Filing Required? No
Business Opportunity Laws? No

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Texas

Registration or Filing Required? Yes, Filing
Business Opportunity Laws? Yes

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Utah

Registration or Filing Required? Yes, Filing
Business Opportunity Laws? Yes

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Vermont

Registration or Filing Required? No
Business Opportunity Laws? No

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Virginia

Registration or Filing Required? Yes, Registration
Business Opportunity Laws? Yes

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Washington

Registration or Filing Required? Yes, Registration
Business Opportunity Laws? Yes

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West Virginia

Registration or Filing Required? No
Business Opportunity Laws? No

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Wisconsin

Registration or Filing Required? Yes, Registration
Business Opportunity Laws? No

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Wyoming

Registration or Filing Required? No
Business Opportunity Laws? No

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