F .T.C. P ubli c C omm e nt 116
" Ga g" o rde r a rr a n g e ment s ofte n for m a n e c e ss a r y ince nti ve for f ra n c hisors t o e nter int o
se tt leme nt agr e e m e nts wi th fr a nc hise e s. Ga g o rde r a rr a n ge ments shoul d not be r e g ulate d, a nd
the y shoul d c e rta inl y not be proh ibi ted… I t i s m y
b e li e f tha t t he F ra n c hise Rul e shoul d not appl y
to i nter na ti ona l sale s, a nd I a g re e d with all of the major point s that we re m
a de in t he ori g inal
discussi ons.
 U.S. Federal Trade Commission   October 30, 1997     Public Comment   Carl Jeffers     Request for publi c comment on possible revisions to The  Franchise Rule.     Comment #116     FEDERAL TRADE COMMISSION
16 C F R P a rt 436
Tr a de R e g ulations R ule on Disc losure R e quire me nts and Prohibi ti ons C on c e rnin g F ra n c hisi ng
a nd
B usiness Oppor tuni t y Ve nture s
C omm e nts on P ropose d C ha ng e s to 1 6 C F R P a rt 436
The following c omm e nts and obse rva ti ons a re sub mi tt e d b y C a rl J e ff e rs, Pr e sident of I ntel
Ma rke ti n g S y stem, a fr a n c hise c onsul ti ng fi rm spe c ializ ing in fr a nc his e stru c turing a nd fr a nc hise
mar ke ti ng a nd sa les.
The c omm e nts wi ll follow the ba sic c h ronolog i c a l orde r of the disc ussi on of the va rious subj e c t
topi c s a s the y a ppe a r in The R ule f rom P oint I thr oug h I X .
Que sti on/Topi c : S hould The R ule be a mend e d to re quire disclosur e of la w suit s filed b y
fr a nc hisors a g
a inst fr a nc hisee s?
C omm e nt/ R e sponse: A spe c ific c h a n g e in The R u le to r e quire disclosur e of law suit s b y
fr a nc hisors m a y be unne c e ssar y . As a pr a c ti c a l m a tt e r f r a nc hisor ini ti a ted l a wsuits a re oft e n
ti mes vie we d fa vor a bl y b y the c ompan y a s a n indi c a ti on of
the c ompan y 's d e sire to either
e nfor c e it s st a nda rds, c on sis tenc y , p rote c ti on of tra de mar ks, or d e mons tra te it s c omm it ment to
NEXT PAGE NEXT PAGE
F .T.C. P ubli c C omm e nt 116
" Ga g" o rde r a rr a n g e ment s ofte n for m a n e c e ss a r y ince nti ve for f ra n c hisors t o e nter int o
se tt leme nt agr e e m e nts wi th fr a nc hise e s. Ga g o rde r a rr a n ge ments shoul d not be r e g ulate d, a nd
the y shoul d c e rta inl y not be proh ibi ted… I t i s m y
b e li e f tha t t he F ra n c hise Rul e shoul d not appl y
to i nter na ti ona l sale s, a nd I a g re e d with all of the major point s that we re m
a de in t he ori g inal
discussi ons.
 U.S. Federal Trade Commission   October 30, 1997     Public Comment   Carl Jeffers     Request for publi c comment on possible revisions to The  Franchise Rule.     Comment #116     FEDERAL TRADE COMMISSION
16 C F R P a rt 436
Tr a de R e g ulations R ule on Disc losure R e quire me nts and Prohibi ti ons C on c e rnin g F ra n c hisi ng
a nd
B usiness Oppor tuni t y Ve nture s
C omm e nts on P ropose d C ha ng e s to 1 6 C F R P a rt 436
The following c omm e nts and obse rva ti ons a re sub mi tt e d b y C a rl J e ff e rs, Pr e sident of I ntel
Ma rke ti n g S y stem, a fr a n c hise c onsul ti ng fi rm spe c ializ ing in fr a nc his e stru c turing a nd fr a nc hise
mar ke ti ng a nd sa les.
The c omm e nts wi ll follow the ba sic c h ronolog i c a l orde r of the disc ussi on of the va rious subj e c t
topi c s a s the y a ppe a r in The R ule f rom P oint I thr oug h I X .
Que sti on/Topi c : S hould The R ule be a mend e d to re quire disclosur e of la w suit s filed b y
fr a nc hisors a g
a inst fr a nc hisee s?
C omm e nt/ R e sponse: A spe c ific c h a n g e in The R u le to r e quire disclosur e of law suit s b y
fr a nc hisors m a y be unne c e ssar y . As a pr a c ti c a l m a tt e r f r a nc hisor ini ti a ted l a wsuits a re oft e n
ti mes vie we d fa vor a bl y b y the c ompan y a s a n indi c a ti on of
the c ompan y 's d e sire to either
e nfor c e it s st a nda rds, c on sis tenc y , p rote c ti on of tra de mar ks, or d e mons tra te it s c omm it ment to
Free Sitemap Generator