Recent Posts
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My Fraud Story Continued: Litigation as a Component of Franchise Fraud
CONTEXT: I signed a franchise contract, realized I’d been defrauded and witnessed the franchisor’s participation in a major privacy crime… all in one month. All that action is in early…
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My Story of Franchise Fraud and Indentured Servitude
I loved seeing franchisees tell the FTC that franchising is like indentured servitude in their comments about the Franchise Rule. I told the FTC that once, too…. a couple years…
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My Own Franchise Story
I really enjoy writing. And my story of franchise fraud is fairly fascinating. I wrote it up for my recent 29-page submission to the FTC in response to their request…
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SBA Chief Franchise Counsel Helps Franchisors
In October of 2014, Stephen J. Olear, Chief Franchise Counsel for the United States Small Business Administration, presented a paper at the American Bar Association’s 37th Forum on Franchising. The…
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Franchisees Need a Private Right of Action
The FTC doesn’t enforce the Franchise Rule itself. And the FTC has resisted allowing for private enforcement of the Franchise Rule. According to the then president of the American Franchisee…
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SBA Harms Veterans by Bailing out the Banks
Employers are not hiring veterans. According to military.com, employers are concerned about veteran skills translation, skill mismatch, future deployments and veteran acclimation. Many also hold negative stereotypes, believing veterans are…
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Franchise Fraud and Churn
To really understand franchise fraud, you must understand “churn.” Churn, or disorderly attrition, is defined as (transfers + terminations + non-renewals + ceased operations) / the number of franchise units…
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Court Records and Franchise Fraud Evidence
Evidence of franchise fraud can be found in court records. Thousands upon thousands upon thousands of public court records document the issues I am discussing on this blog. Court records…
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The SBA Predicted the Current Franchise Loan Fraud Crisis in 2002
0n September 16, 2002, the SBA Office of the Inspector General (OIG) submitted a report entitled “The SBA’s Experience with Defaulted Franchise Loans.” At the bottom of page 1 and…
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SBA Now Faults Lenders and May Not Pay Franchise Loan Guarantees in the Future
On August 15, 2018, the SBA Office of the Inspector General drew a conclusion that could damn the franchise industry. That conclusion reads: The conclusion comes at the end of…
