Franchise law by state

Franchise Laws by State

Most states follow only the federal FTC Franchise Rule, but a group of registration and disclosure states add their own requirements before a franchise can be sold. These guides help prospective franchisees understand what applies in their state.

Last reviewed: May 26, 2026 by the BizLeaseCheck Editorial Team

General information, not legal advice.

Registration vs. federal
The federal FTC Franchise Rule applies everywhere. Registration and disclosure states add state-level registration, filing, addendum, or relationship requirements on top of it.
Why it matters
In a registration state, a franchise generally cannot be sold to you until the FDD is registered and effective, and some states require a specific addendum and add termination protections.
What to verify
Confirm the franchisor’s registration is effective in your state, that you received the FDD at least 14 days before signing, and that any required state addendum is included.

High-risk state franchise-law issues

Buying a franchise in a registration state before the FDD is registered and effective there
Relying on an FDD that is past its annual renewal or update deadline
Missing a required state-specific FDD addendum (for example, New York)
Assuming the federal FTC rule is the only requirement in a registration state
Overlooking state good-cause termination or non-renewal protections
Not confirming the franchisor's registration status with the state agency

State franchise-law guides

Source-cited guides for registration and disclosure states. More states coming.

California

California Franchise Law Guide: Registration, Franchise Investment Law & Relations Act

What a prospective franchisee should know about California franchise registration, disclosure timing, and termination/non-renewal protections before signing.

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New York

New York Franchise Law Guide: GBL Article 33 Registration & the Attorney General

What a prospective franchisee should know about New York franchise registration and disclosure before signing.

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Illinois

Illinois Franchise Law Guide: Franchise Disclosure Act (815 ILCS 705) & Registration

What a prospective franchisee should know about Illinois franchise registration, disclosure, and relationship protections before signing.

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Washington

Washington Franchise Law Guide: Franchise Investment Protection Act (RCW 19.100)

What a prospective franchisee should know about Washington franchise registration, disclosure, and relationship protections before signing.

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Maryland

Maryland Franchise Law Guide: Registration, Disclosure & the Franchise Reform Act

What a prospective franchisee should know about Maryland franchise registration and disclosure — and the changes proposed in 2026 — before signing.

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Hawaii

Hawaii Franchise Law Guide: HRS Chapter 482E Registration & the DCCA

What a prospective franchisee should know about Hawaii franchise filing and disclosure before signing.

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Indiana

Indiana Franchise Law Guide: IC 23-2-2.5 Registration & the Secretary of State

What a prospective franchisee should know about Indiana franchise registration and disclosure before signing.

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Michigan

Michigan Franchise Law Guide: Notice Filing (MCL 445.1501) & the Attorney General

What a prospective franchisee should know about Michigan’s franchise notice filing and disclosure before signing.

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Minnesota

Minnesota Franchise Law Guide: Chapter 80C Registration & the Department of Commerce

What a prospective franchisee should know about Minnesota franchise registration and disclosure before signing.

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North Dakota

North Dakota Franchise Law Guide: NDCC 51-19 Registration & the Securities Department

What a prospective franchisee should know about North Dakota franchise registration and disclosure before signing.

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Oregon

Oregon Franchise Law Guide: ORS Chapter 650 Disclosure (No State Registration)

What a prospective franchisee should know about Oregon’s disclosure-only franchise law before signing.

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Rhode Island

Rhode Island Franchise Law Guide: Franchise Investment Act (19-28.1) & the DBR

What a prospective franchisee should know about Rhode Island franchise registration and disclosure before signing.

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South Dakota

South Dakota Franchise Law Guide: SDCL 37-5B Registration & the Division of Insurance

What a prospective franchisee should know about South Dakota franchise registration and disclosure before signing.

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Virginia

Virginia Franchise Law Guide: Retail Franchising Act (13.1-557) & the SCC

What a prospective franchisee should know about Virginia franchise registration and disclosure before signing.

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Wisconsin

Wisconsin Franchise Law Guide: Chapter 553 Registration & the DFI

What a prospective franchisee should know about Wisconsin franchise registration and disclosure before signing.

Read guide

Reading the FDD itself

State registration is only part of the picture. The franchise disclosure document’s 23 Items — fees, Item 19 financial performance representations, territory, renewal, termination, and litigation — determine the actual deal. See the FDD review guides and upload your FDD for an AI red-flag analysis.

Frequently asked questions

Which states require franchise registration?

Roughly 15 states have franchise registration and/or disclosure requirements beyond the federal FTC rule, including California, Hawaii, Illinois, Indiana, Maryland, Michigan, Minnesota, New York, North Dakota, Oregon, Rhode Island, South Dakota, Virginia, Washington, and Wisconsin. The exact status (full registration, notice filing, or disclosure-only) varies by state and changes over time.

Do registration states change the federal FDD rules?

No. The federal FTC Franchise Rule (16 CFR Part 436) applies everywhere, including the 14-day disclosure requirement. Registration states add state-level registration, filing, addendum, or relationship requirements on top of the federal baseline.

How do I confirm a franchisor is registered in my state?

Check the state agency that administers franchise law (linked in each state guide), confirm the franchisor’s registration is effective, and review any required state addendum. Confirm specifics with a franchise attorney.

Is this legal advice?

No. These guides provide general information and document-review prompts. Franchise registration, relationship, and termination questions are state-specific and change over time — confirm them with qualified professionals.