Franchisee Freedom Act
Sponsored By: Representative Rep. Schakowsky, Janice D. [D-IL-9]
Introduced
Summary
Creates a private civil remedy for franchisees harmed by violations of the Federal Trade Commission’s Franchise Rule and protects franchisees’ freedom to associate. The bill would let harmed franchisees seek money damages, equitable relief including contract rescission, and recover reasonable attorneys' fees and costs, while forbidding franchisors from restricting or retaliating against franchisee associations.
Show full summary
- Franchisees: Franchisees could sue for actual damages, obtain equitable relief such as rescission of contracts, and recover attorneys' fees and costs.
- Franchisors: Franchisors would be barred from directly or indirectly restricting franchisees' ability to associate with other franchisees or to join trade associations, and from retaliating against such association.
- Courts and remedies: Private suits could be filed in a federal district court or a state court where the claimant lives, and the remedies apply notwithstanding other law.
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Bill Overview
Analyzed Economic Effects
1 provisions identified: 1 benefits, 0 costs, 0 mixed.
Lawsuit and organizing rights for franchisees
If enacted, franchise owners could sue if a franchisor breaks the federal Franchise Rule or this bill’s organizing rights. You could recover your actual losses. A court could cancel your contract and order other fair relief. You could also get reasonable attorneys’ fees and costs. You could file in federal or state court where you live. These rights would apply even if other laws also offer remedies. Franchisors would be barred from blocking you from joining with other franchisees or a trade group, and from retaliating. These protections would start upon enactment.
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Sponsors & CoSponsors
Sponsor
Rep. Schakowsky, Janice D. [D-IL-9]
IL • D
Cosponsors
Rep. Johnson, Henry C. "Hank," Jr. [D-GA-4]
GA • D
Sponsored 7/22/2025
Rep. Huffman, Jared [D-CA-2]
CA • D
Sponsored 7/22/2025
Rep. Ross, Deborah K. [D-NC-2]
NC • D
Sponsored 9/10/2025
Rep. Bonamici, Suzanne [D-OR-1]
OR • D
Sponsored 9/10/2025
Roll Call Votes
No roll call votes available for this bill.
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