North Carolina Franchise Laws
North Carolina is a typical non-registration state for franchising.
That means franchisors are not required to register their Franchise Disclosure Document (FDD) with a state agency before offering franchises. The pre-sale disclosure process is governed by the Federal Trade Commission’s (FTC) Franchise Rule.
That said, aspiring franchisors and franchisees who live in North Carolina should hire North Carolina Franchise Attorneys. Why? To advise them on North Carolina franchising laws.
However, even though North Carolina isn’t a registration state, the state does have a Business Opportunity Sales Act that can apply to franchises. Most franchisors are exempt from this law’s filing requirements, provided they license a federally registered trademark.
However, for the few that do not meet this exemption, they must register as a business opportunity with the Secretary of State.
For the ongoing relationship, North Carolina does not have a general franchise relationship law that governs termination, renewal, or transfer rights for most franchisees. As a result, the rights and obligations of both parties regarding these issues are dictated primarily by the terms of the franchise agreement and general contract law.
Finally, specific industries, such as alcoholic beverage distributorships, do have laws that provide greater franchisee protections, including “good cause” requirements for termination.
Here is a list of franchise lawyers you can hire in North Carolina
Jonathan Barber / The Barber Law Firm
10224 Hickorywood Hill Ave, Suite 201-B
Huntersville, North Carolina
Jessica B. Vickers
3605 Glenwood Avenue, Suite 500
Raleigh, North Carolina
Robert O. Crawford III
Bank of America Tower @ North Hills
4242 Six Forks Road, Suite 1550
Raleigh, North Carolina
This Directory is owned and operated by Franchise Selection Specialists Inc., Cleveland, Ohio 44143
Joel Libava, President.
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