§ 437.8. Franchise exemption.
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/us/cfr/t16/s§ 437.8·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
The provisions of this Rule shall not apply to any business opportunity that constitutes a "franchise," as defined in the Franchise Rule, 16 CFR part 436; provided, however, that the provisions of this Rule shall apply to any such franchise if it is exempted from the provisions of part 436 because, either:
(a)Under § 436.8(a)(1), the total of the required payments or commitments to make a required payment, to the franchisor or an affiliate that are made any time from before to within six months after commencing operation of the franchisee's business is less than \$500, or
(b)Under § 436.8(a)(7), there is no written document describing any material term or aspect of the relationship or arrangement.
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- 16 CFR 436
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§ 437.8
Franchise exemption.
Cite16 CFR 436
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