Home
>
Political
>
Federal Trade Commission Falsely Purports Franchise Disclosure is Cost Effective

Federal Trade Commission Falsely Purports Franchise Disclosure is Cost Effective

In a recent report on the status of the Franchising Industry, the Federal Trade Commission knowingly and falsely purported that its Franchise Disclosure Rules are cost effective. In fact; there is nothing inexpensive or "cost-effective" about the 190 to 230 pages of disclosures that franchisors must give to prospective franchisees. Anyone purporting such misrepresentations does so either for personal gain (Lawyer) or out of spite against franchisors due to a misunderstanding of what the franchising model is or how it works.

We see in many industries, for instance real estate, where laws, case laws, regulations have made a simple house purchase turn into a series of forms no less than 400 pages, (it may not look as big in 10pt font and double sided, but it is) and just short of the number of pages in this Federal Trade Commission report. What does all this mean? It means we have further complicated the original reason for such disclosures to the point of absurdity, where each side is so busy trying to CYA, in case of frivolous lawsuits that each side believes they have the right to be irresponsible in their business practices and have no need to fulfill their promises because there is a clause in the contracts and disclosures giving them a way out and behind that way out a lawyer who will be glad to make 2+2 equal 50 if you so desire and have paid the retainer.

It is all a crock, everyone in franchising knows it, no one is willing to say it and the Federal Trade Commission is so busy having meetings with lawyers that they forgot about the original consumer who is not helped in the least by over disclosure as the costs that the franchisors pay in the exorbitant fees to prepare the disclosure documents are passed onto the very consumer that the Federal Trade Commission is claiming they protect. It is total BS to say that such over disclosure helps consumers at all. Just a lie, an excuse for further rule making and minutia piling (BS). Simply helping lawyers to that which they did not earn and do not deserve.

While some might contend that franchise disclosure give vital and pertinent material information to prospective franchisees, such over disclosure hurts that very prospective franchisee if they buy the franchise and become a consumer of franchisor. The extra costs passed on to the consumer are not the only issues to be concerned with, there is also much proprietary information of the franchisor which is in such documents, information such as:

Number of Units expected to be established in the future in various states, Complete set of audited books, complete business structure, name and address and phones numbers of franchisees, often earnings claims which show unit performance by region, etc. all this information makes it really easy for competition to track and crush the fledgling franchisees by establishing stores in those regions and competing with all that information. Information that non-franchised competition do not disclose as they are not regulated in such a manner. This further un-levels the playing field for the franchisee unit and could cause them to go out of business. Thank you FTC. You fine folks at the FTC- "Forgot The Consumer" Again !!! How is it that no one understands this? I see no attorneys discussing these things in their comments? Why? Because the attorneys do not understand the market place and really have no business commenting on the proposed franchise rule changes as they are the ones who have made the modern day franchise model highly unworkable for their own personal gain a fees. The FTC doesn't get it, the lawyers do not want you to, the consumer doesn't understand what is happening and the franchisors are drowning in minutia. Wake up. Think on this, debate the topic if you will, but any rational human being with half a brain can see what is happening. Thanks for listening and all the best.

"Lance Winslow" - If you have innovative thoughts and unique perspectives, come think with Lance; www.worldthinktank.net/wttbbs

professional maid services Park Ridge ..

In The News:

ShinyHunters claims responsibility for stealing 94GB of Pornhub user data affecting over 200 million records and demands Bitcoin ransom.

ChatGPT 2025 now connects to Apple Music, Canva, Expedia, TripAdvisor and OpenTable through built-in apps that help users create playlists, design graphics and more.

Apple releases emergency patches for two zero-day vulnerabilities actively exploited in attacks. iPhone and iPad users urged to update immediately.

DoorDash launches Zesty, an AI-powered social app that recommends restaurants through conversational search, now testing in San Francisco and New York.

Cybersecurity firm Infoblox reveals that over 90 percent of parked domains now redirect visitors to scams and malware, making simple typos extremely dangerous.

The Fox News AI Newsletter covers the latest artificial intelligence technology advancements, including the challenges and opportunities AI presents now and for the future.

GPT-5.2 is now live for all ChatGPT users with improved coding, writing and image interpretation, with Kurt Knutsson offering his review.

New iPhone replacement scam uses pressure tactics and fake carrier calls to steal devices from buyers. Criminals claim shipping errors and demand urgent returns.

Amazon Ring's new facial recognition feature sparks privacy controversy as Electronic Frontier Foundation critics argue the AI upgrade expands surveillance risks.

New Android banking trojan Sturnus steals credentials, reads encrypted messages and controls devices.

Denmark's 3D-printed student village proves automation builds 36 apartments faster than traditional methods. Skovsporet project shows housing future.

Discover Android's new Sound Notifications feature that alerts you to smoke alarms, doorbells, and baby cries even when wearing headphones.

New SantaStealer malware reportedly threatens holiday shoppers with password theft. This Christmas-themed info-stealer targets browsers and crypto wallets.

The Christmas season brings a surge in Netflix phishing scams targeting shoppers with fake emails. Stacey P received convincing scam but verified account first.

San Francisco Giants invite Jamie Grohsong to throw ceremonial first pitch at Oracle Park after he learned to play baseball with a bionic hand following an injury.

FBI warns cybercriminals are stealing family photos from social media to create fake proof of life images in virtual kidnapping scams targeting victims.

Instagram's new 'Your Algorithm' tool lets you control your Reels feed in real time. The app now gives you power to customize what videos you see.

Major Marquis fintech breach exposes 400,000-plus Americans' data through unpatched SonicWall vulnerability, with Texas hardest hit at 354,000 affected.

Free up iPhone storage fast by clearing large photos and videos from Messages app. Simple steps for iOS users to delete attachments without losing chats.

Scammers are flooding inboxes with fake tracking alerts that mimic real carriers, exploiting the holiday rush to steal logins and personal data.

The Fox News AI Newsletter brings you the latest news on AI technology advancements and the challenges and opportunities AI presents now and for the future.

Texas family reunites with missing 11-year-old cat Grayson after 103 days using Petco Love Lost's AI photo matching technology and community help.

Tired of AI customer service loops? These insider tricks help you escape "frustration AI" and get real human help when you need it most for urgent issues.

Unlock richer audio from your streaming apps with simple tweaks to volume normalization, equalizer settings, and quality preferences for cleaner sound.

Scammers are sending fake Facebook settlement payout emails that mimic legitimate notices from the privacy settlement administrator to deceive users.

Federal Trade Commission Falsely Purports Franchise Disclosure is Cost Effective

Political