08 Sep, 2017

Franchise Association

The franchise association is just unions. When you enter the modern world of business, the employer gets the right to actually close the company if a group of employees want to form a union and the employer does not like the idea. Therefore a franchisee should be allowed to form or join this kind of association in order to use it as a form of collective bargaining power against the franchisor. It would interest you to know that in the case that a small number of franchisees come together in an area to join such a union it strengthens their power and brings some form of equality into the system. With the increase in legal issues concerning the operation of franchises it would lead to many formation of franchise association. However this could lead to a tearing down of the system of franchise together some amount of infighting. But the Trade Commission does not approve of such behaviors as it leads to a damaging of those who do not have any form of representation. What this means is that people would be forced to join a group that they are not aware of before ever signing their franchise agreement. This would be a group that they may not agree with and that did not exist at the time of the agreement they signed. The fact of the matter is that with the formation of the franchise association in our times, it may lead to some rough tactics and disagreements in the franchise model. It is possible that there may be some increased litigations with the franchisee and the franchisee. This is because each would want to assert his or her rights in signing the contractual agreement. According to some data, there are a number of companies that have been damaged by the formation of the franchise association. The associations have rather helped the workers a great deal and it would be good if the market is left to decide on its own. This means also that the Federal Trade Commission should not come into it at all. When you have a number of franchisees coming together and the concerns rose are that serious it means that the franchisor must listen. This is because of the fact that their business would fall very soon coupled with an increase in the lawsuits. The market must be left to operate on its own.