Franchise Laws for Mississippi
Mississippi franchise law presents a unique blend of federal reliance and specific state-level protections.
The state is a “non-registration” jurisdiction, meaning it does not have its own franchise registration or disclosure laws. Consequently, franchisors are not required to register their offerings with any state agency. But, Mississippi would-be franchisees should always find Mississippi Franchise Attorneys to go over the FDD and contract.
Instead, they must comply with the Federal Trade Commission’s (FTC) Franchise Rule. This federal mandate ensures that prospective franchisees receive a comprehensive Franchise Disclosure Document (FDD) before any contracts are signed or money is exchanged, providing a baseline of essential information about the franchise system.
While Mississippi does not have a broad statute governing the entire franchise relationship, it does provide a critical protection regarding the end of that relationship.
For instance, Mississippi state law prohibits a franchisor from canceling, terminating, or failing to renew a franchise agreement without providing the franchisee with at least 90 days’ written notice. This notice period gives the franchisee time to prepare for the transition, unlike in states with no such relationship laws where termination can be more abrupt.
And while this 90-day notice requirement is a significant safeguard, but it is not absolute. The law includes exceptions for certain egregious franchisee actions.
For instance, if the reason for termination is criminal misconduct, fraud, abandonment of the business, bankruptcy, or passing bad checks, the franchisor is not required to provide the 90-day notice and can terminate the agreement more immediately. This structure aims to balance franchisee protection against arbitrary termination with the franchisor’s need to act swiftly to protect its brand and business interests in cases of serious misconduct.
Here is a list of franchise lawyers you can hire in Mississippi
Ronald T. Coleman, Jr./ Bradley
188 E Capitol St, Suite 400
Jackson, Mississippi
