Corruption
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My Comment on the Franchise Rule
On January 23rd, 2020, I discovered that my comment on the FTC’s Franchise Rule had finally been published. As of January 15th, before the change from the Trump administration to…
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Is Franchising White Collar Racketeering?
As some of you know, I am making an argument that some franchisors, if not a very high percentage of them, are guilty of white collar racketeering. I believe that…
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Franchisees Need a Private Right of Action
The FTC doesn’t enforce the Franchise Rule itself. And the FTC has resisted allowing for private enforcement of the Franchise Rule. According to the then president of the American Franchisee…
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The SBA isn’t Enforcing Rules that Would Prevent Franchise Fraud
Believe it or not, the Small Business Administration’s Standard Operating Procedures already have rules in place that would prevent much of the mass franchise fraud that is harming taxpayers. But…
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7-11 Franchisees Take the Publicity Lead
On September 27th, Franchise Times published an article entitled, “7-11 Owners Air Cold, Hard Facts Against Corporate.” The decision to air grievances publicly is a rare one in the franchising…
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Forced Arbitration Clauses Mean Franchisors Win
The American Association of Justice just released a report about the extreme harms of forced arbitration. The report is dated this month: September 2019. Many franchise agreements have clauses that…
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Franchise Fraud is Bureaucratic Corruption
Franchise fraud is bureaucratic corruption. In their 2017 book Corruption: What Everyone Needs to Know, Ray Fisman and Miram A. Golden write: In any setting, there can be the occasional…
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Franchise Fraud in the News
Why don’t we hear about franchise fraud in the news? In 2017, when I first began interacting with leaders in the franchise-fraud resistance movement (that’s my name for it), someone…
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Franchise Fraud: The Problem is Corruption
Corruption is at the heart of the endemic franchise fraud in the United States. The most effective solution against corruption I know is using leaks of documents that prove the…
