16 CFR 436.3 - Cover page.

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§ 436.3 Cover page.

Begin the disclosure document with a cover page, in the order and form as follows:

(a) The title “FRANCHISE DISCLOSURE DOCUMENT” in capital letters and bold type.

(b) The franchisor's name, type of business organization, principal business address, telephone number, and, if applicable, email address and primary home page address.

(c) A sample of the primary business trademark that the franchisee will use in its business.

(d) A brief description of the franchised business.

(e) The following statements:

(1) The total investment necessary to begin operation of a [franchise system name] franchise is [the total amount of Item 7 ( § 436.5(g))]. This includes [the total amount in Item 5 ( § 436.5(e))] that must be paid to the franchisor or affiliate.

(2) This disclosure document summarizes certain provisions of your franchise agreement and other information in plain English. Read this disclosure document and all accompanying agreements carefully. You must receive this disclosure document at least 14 calendar-days before you sign a binding agreement with, or make any payment to, the franchisor or an affiliate in connection with the proposed franchise sale. [The following sentence in bold type] Note, however, that no governmental agency has verified the information contained in this document.

(3) The terms of your contract will govern your franchise relationship. Don't rely on the disclosure document alone to understand your contract. Read all of your contract carefully. Show your contract and this disclosure document to an advisor, like a lawyer or an accountant.

(4) Buying a franchise is a complex investment. The information in this disclosure document can help you make up your mind. More information on franchising, such as “A Consumer's Guide to Buying a Franchise,” which can help you understand how to use this disclosure document, is available from the Federal Trade Commission. You can contact the FTC at 1-877-FTC-HELP or by writing to the FTC at 600 Pennsylvania Avenue, NW., Washington, D.C. 20580. You can also visit the FTC's home page at www.ftc.gov for additional information. Call your state agency or visit your public library for other sources of information on franchising.

(5) There may also be laws on franchising in your state. Ask your state agencies about them.

(6) [The issuance date].

(f) A franchisor may include the following statement between the statements set out at paragraphs (e)(2) and (3) of this section: “You may wish to receive your disclosure document in another format that is more convenient for you. To discuss the availability of disclosures in different formats, contact [name or office] at [address] and [telephone number].”

(g) Franchisors may include additional disclosures on the cover page, on a separate cover page, or addendum to comply with state pre-sale disclosure laws.

This is a list of United States Code sections, Statutes at Large, Public Laws, and Presidential Documents, which provide rulemaking authority for this CFR Part.

This list is taken from the Parallel Table of Authorities and Rules provided by GPO [Government Printing Office].

It is not guaranteed to be accurate or up-to-date, though we do refresh the database weekly. More limitations on accuracy are described at the GPO site.

United States Code
U.S. Code: Title 15 - COMMERCE AND TRADE

§ 41 - Federal Trade Commission established; membership; vacancies; seal

§ 42 - Employees; expenses

§ 43 - Office and place of meeting

§ 44 - Definitions

§ 45 - Unfair methods of competition unlawful; prevention by Commission

§ 45a - Labels on products

§ 46 - Additional powers of Commission

§ 46a - Concurrent resolution essential to authorize investigations

§ 47 - Reference of suits under antitrust statutes to Commission

§ 48 - Information and assistance from departments

§ 49 - Documentary evidence; depositions; witnesses

§ 50 - Offenses and penalties

§ 51 - Effect on other statutory provisions

§ 52 - Dissemination of false advertisements

§ 53 - False advertisements; injunctions and restraining orders

§ 54 - False advertisements; penalties

§ 55 - Additional definitions

§ 56 - Commencement, defense, intervention and supervision of litigation and appeal by Commission or Attorney General

§ 57 - Separability clause

§ 57a - Unfair or deceptive acts or practices rulemaking proceedings

15 U.S. Code § 57a–1 - Omitted

§ 57b - Civil actions for violations of rules and cease and desist orders respecting unfair or deceptive acts or practices

15 U.S. Code § 57b–1 - Civil investigative demands

15 U.S. Code § 57b–2 - Confidentiality

15 U.S. Code § 57b–2a - Confidentiality and delayed notice of compulsory process for certain third parties

15 U.S. Code § 57b–2b - Protection for voluntary provision of information

15 U.S. Code § 57b–3 - Rulemaking process

15 U.S. Code § 57b–4 - Good faith reliance on actions of Board of Governors

15 U.S. Code § 57b–5 - Agricultural cooperatives

§ 57c - Authorization of appropriations

15 U.S. Code § 57c–1 - Staff exchanges

15 U.S. Code § 57c–2 - Reimbursement of expenses

§ 58 - Short title