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State Guide: Franchise Disclosure Laws
Fifteen states have franchise investment laws that require franchisors to provide pre-sale disclosures, known as "offering circulars," to potential purchasers. Thirteen of these state laws treat the sale of a franchise like the sale of a security. They typically prohibit the offer or sale of a franchise within their state until a franchise offering circular has been filed on the public record with, and registered by, a designated state agency. Two of the fifteen states do not require a filing of offering circulars, as noted in the list of state offices below.
These state laws give franchise purchasers important legal rights, including the right to bring private lawsuits for violation of the state disclosure requirements. Potential franchise purchasers who reside in these states are encouraged to contact their state franchise law administrators for additional information about the protection these laws provide.
| STATE | FRANCHISE LAW ADMINISTRATOR |
| California (filing required) |
Franchise Division Department of Corporations 1515 K Street Sacramento, CA 95814 (916) 445-7205 |
| Hawaii (filing required) |
Franchise & Securities |
| Illinois (filing required) |
Franchise Division Office of Attorney General 500 South Second Street Springfield, IL 62706 (217) 782-4465 |
| Indiana (filing required) |
Franchise Division Office of Secretary of State 302 W. Washington St., Rm. E111 Indianapolis, IN 46204 (317) 232-6681 |
| Maryland (filing required) |
Franchise Office Division of Securities 200 St. Paul Place - 20th Floor Baltimore, MD 21202 (410) 576-6360 |
| Michigan (only notice required) |
Consumer Protection Division Franchise Section PO Box 30213 Lansing MI 48909 |
| Minnesota (filing required) |
Franchise Division Department of Commerce 133 East Seventh St. St. Paul, MN 55101 (651) 296-6328 |
| New York (filing required) |
Franchise & Securities Division State Department of Law 120 Broadway 23rd Floor New York NY 10271 (212) 416-8211 |
| North Dakota (filing required) |
Franchise Division Office of Securities Commission 600 East Boulevard - 5th Floor Bismarck, ND 58505 (701) 328-2910 |
| Oregon (no filing) |
Corporate Securities Section Dept. of Insurance & Finance Labor & Industries Bldg. Salem, OR 97310 (503) 378-4387 |
| Rhode Island (filing required) |
Franchise Office Division of Securities 233 Richmond St. - Suite 232 Providence, RI 02903 (401) 222-3048 |
| South Dakota (filing required) |
Franchise Office Division of Securities 910 E. Sioux Avenue Pierre, SD 57501 (605) 773-4013 |
| Virginia (filing required) |
Franchise Office State Corporation Commission 1300 E. Main St. Richmond, VA 23219 (804) 371-9276 |
| Washington (filing required) |
The Department of Financial Institutions Securities Division P.O. Box 9033 Olympia, WA 98507-9033 Voice: (360) 902-8760 Fax: (360) 586-5068 |
| Wisconsin (filing required) |
Franchise Office Wisconsin Securities Commission P.O. Box 1768 Madison, WI 53701 (608) 266-3364 |
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