In the past few years we have seen new legislation against SPAM, fax marketing and telemarketing. The franchisor must ensure that the integrity of the franchise system, the image and the standing in the community, as well as the brand-name are protected. This is why these new forms of marketing must be prohibited and outlined as such in the confidential operations manual.

Indeed, in our franchise company by developed a few clauses to address these new issues so as to prevent our franchisees from inadvertently breaking the law and or causing a problem for our franchise team;

3.16.2

You may not use unsolicited telephone or out-going telemarketing sales campaigns in the operation of your franchised business.

3.16.3

Any more than fifty (50) electronic mailings of an unsolicited nature per week are prohibited unless approved by Franchisor.

3.16.4 Blast Fax

Any more than one hundred (100) faxes of an unsolicited nature per week are prohibited unless approved by Franchisor.

--- --- --- --- ---

Although these may be new clauses in most franchise agreements, you should still ask your franchise attorney if it makes sense for your company to include such in your franchise agreements. Every franchisor should consider this can be thinking here to comply with law. Think on this in 2006.