September 10, 2020 | Publications
Item 19 During COVID-19
As we discussed in our recent post – franchisor’s face difficult questions about whether to amend their FDD to address the impact of COVID-19 on financial performance information. Cheng Cohen attorney Stuti Muraka delves into this topic in her recent article published in The Franchise Lawyer.
“Franchisors that have a ‘reasonable basis’ to support their FPR as of today, may not continue to have a reasonable basis a few months down the line. Therefore, franchisors will continue to face this unique challenge as they offer to sell franchises during and after COVID-19.”
Click here to download the article. Reprinted (with permission) from The Franchise Lawyer, American Bar Association (Summer 2020)