Prohibits a franchisor from requiring a franchisee to purchase goods, supplies, inventories or services from the franchisor or a source the franchisor designates if goods, supplies, inventories or services of comparable quality are available elsewhere.

Plain English Breakdown

The plain English breakdown is still being put together. The official documents below are already here.

Official Summary Text

Digest: Tells a franchisor not to make a franchisee buy goods or services from the franchisor or a source the franchisor favors. Lists some exceptions. Says that a franchisor may not get money, goods or a benefit from a person that does business with a franchisee unless the franchisor passes the money, goods or benefit to the franchisee right away. Lists an exception. (Flesch Readability Score: 64.9).
Prohibits a franchisor from requiring a franchisee to purchase goods, supplies, inventories or services from the franchisor or a source the franchisor designates if goods, supplies, inventories or services of comparable quality are available elsewhere. Specifies exceptions.
Prohibits a franchisor from receiving payment, goods, services or any other benefit from a person with which a franchisee does business unless the franchisor accounts for and transmits to the franchisee the payment, goods, service or benefit. Specifies exceptions.
Relating to: Relating to prohibited provisions in franchise agreements.
Current location: In House Committee