A 3945
Concerns hospitality franchise agreements.
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- Passed General Assembly
- Passed Senate
- To Governor
- Became Law
Bill overview
This bill aims to strengthen protections for hospitality franchisees in New Jersey by amending the Franchise Practices Act. It clarifies that certain hospitality franchises, specifically those requiring a physical location within the state, are considered ‘merchandise’ under consumer protection laws. The bill outlines specific actions franchisors cannot take, such as receiving undisclosed payments from vendors, requiring exclusive purchases, or unilaterally changing franchise agreements. It also establishes a franchisee advisory committee to improve communication and resolve disputes, and prohibits certain practices like selling loyalty points to guests without compensating the franchisee.
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Cosponsor
Tennille McCoy
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