Apr 23 2008
Understanding Franchise Lawsuits
Always look into a company’s background before you decide to invest in a franchise. After all, the last thing you want to do is throw your money into a concept that carries a history of trouble.
Luckily for you, all franchisors are legally required to provide prospective franchisees with a Uniform Franchise Offering Circular (UFOC ) document / Franchise Disclosure Document (FDD), which reports any and all history of litigation and bankruptcy associated with the company. While this is all well and good, you as a prospective franchisee need to make sure that you understand the nature of the relevant franchise lawsuits before you decide whether or not you should invest in the concept.
