FTC Hurts Franchising Consumers



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Last Summer the Federal Trade Commission came out with a report citing all the changes that might be considered in a future rule making for the franchise rule. It addressed comments made back in 1995 and 1999. This report did not take into consideration the many new entrants into the market as of 1999 and the failure to come up with a concrete policy before now did not take into considerations the needs of those companies which were destroyed in the interim from the over bearing rules and regulations, which has already cost American jobs and destroyed lives.

There can be no forgiveness to the Federal Trade Commission for the devastation it has caused in the franchising arena, there are no words good enough to be spoken or written for such atrocities. Calling it treason would be appropos. I can personally name 30 franchisees who lost everything due to the attack on our company from the Federal Trade Commission, the company recovered but not those folks. Thirty individual families, consumers, that the Federal Trade Commission caused financial ruin. Why; so the Federal Trade Commission can prove self worth or justify additional Budgetary increases for next year or two? So a 26-year old government attorney can make a name for himself, so concerned to win a case, willing manipulate data; then file it in a secret court to hide his falsehoods?

So the head of the Federal Trade Commission Franchise Rule Division can make a statement in a speech: “We are going after our first Internet Franchise Case” talking to a group of attorneys in franchising, he may so very much like to join some day in private practice? Is this the best the Federal Trade Commission can do? Well, is it? We are to call this justice? If this is justice at the Federal Trade Commission then Justice no longer exists there. Did it ever? Think about it.



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