Last week may be viewed as a monumental week as we are starting to see the new majority at the Federal Trade Commission (FTC), led by Chair Lina Khan, take an interest in franchise issues, specifically protecting franchisees. Besides Khan, Commissioners Rohit Chopra (who was a guest speaker at the AAFD Conference in June) and Rebecca Slaughter have taken an interest in franchise issues.
Inside the DC Beltway periodical, The Hill, published two articles on franchise issues. The first article reported on the FTC looking into possible “collusive” practices relating to retail fuel franchises. In the article, Khan was quoted on the power imbalance favoring large national chains, often at the expense of franchisee’s operations. New AAFD member, the National Coalition of Associations of 7-Eleven Franchisees (NCASEF), is directly impacted by this investigation.
The second article deals with the right to repair issues and the constant problems with McDonald’s ice cream machines breaking down. The article states that the FTC has reached out to franchise owners to understand the issues.
The AAFD has continued to work with the FTC on issues protecting franchisees, and we feel these steps show the FTC has raised the priority of franchise issues. We will keep you informed as further work by the FTC takes place.
FTC to probe for any ‘collusive’ practices on gas prices:
FTC looking into broken ice cream machines at McDonald’s: