Question: The FDD always has 23 separate sections in a specified order True False Select ALL of the following ways to mitigate franchisee litigation exposure: Ensure




The FDD always has 23 separate sections in a specified order True False Select ALL of the following ways to mitigate franchisee litigation exposure: Ensure all proper franchise registrations are in place Train salespeople on franchise laws Designate a compliance officer Set up all supply chain contracts at a single stated price Institute a 3 strikes policy with infraction violations Vicarious liability can occur when a franchisor exercises significant control over the franchisee's activities True False Select ALL of the following that are TRUE. Franchisees typically manage store expenses better than franchisors by: Keeping tighter controls on inventory Improving margins through opportunistic buying Having more lower cost / higher margin tems on the menu Managing labor better Hiring higher experienced and higher cost store managers Which of the following is NOT a factor that the best franchisors focus on to ensure quality (control) Legal documentation Training and Support Franchisee Selection Documented Systems All are factors that the best franchisors focus on to ensure quality (control)
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