How can a franchisor avoid litigation and other legal issues?
A. The best way to minimize exposure to litigation or other legal risks is to comply with all applicable statutory requirements, including federal laws and state statutes. Additionally, your FDD and all related agreements should be drafted with a view toward clearly stating the rights of the franchisor and the franchisee so as to avoid any confusion. All documents should be unambiguous and written to provide the franchisor with the maximum amount of protection possible.
