San Diego--The American Association of Franchisees &Dealers has announced the adoption of three new Fair FranchisingStandards. The new standards define exemplary practices in threedistinct aspects of a franchising relationship:
1. The use of personal guarantees ina franchising transaction.
2. The rights of a franchisor to sell or transfer the entirefranchise system.
3. The use of so-called "gag order" agreements to keepthe settlement of disputes confidential.
The AAFD uses its standards to award franchisors with its FairFranchising Seal. To earn the seal, the company's franchiseagreement must be consistent with the Fair Franchising Standardsand must receive approval from at least 75 percent of itsfranchisees in a confidential AAFD-administered survey.-American Association of Franchisees & Dealers
San Diego--The American Association of Franchisees &Dealers has announced the adoption of three new Fair FranchisingStandards. The new standards define exemplary practices in threedistinct aspects of a franchising relationship:
1. The use of personal guarantees ina franchising transaction.
2. The rights of a franchisor to sell or transfer the entirefranchise system.
3. The use of so-called "gag order" agreements to keepthe settlement of disputes confidential.
The AAFD uses its standards to award franchisors with its FairFranchising Seal. To earn the seal, the company's franchiseagreement must be consistent with the Fair Franchising Standardsand must receive approval from at least 75 percent of itsfranchisees in a confidential AAFD-administered survey.-American Association of Franchisees & Dealers
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