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.
Last reviewed: May 26, 2026 by the BizLeaseCheck Editorial Team
General information, not legal advice.
Overview
Illinois regulates franchise sales under the Franchise Disclosure Act of 1987 (815 ILCS 705), administered by the Illinois Attorney General.
Franchisors generally must register before offering or selling a franchise in Illinois, and the federal 14-day disclosure rule applies.
What to check
The Franchise Disclosure Act of 1987 is codified at 815 ILCS 705 and is administered by the Illinois Attorney General.
It defines a franchise and sets registration, disclosure, and anti-fraud requirements for franchise sales connected to Illinois.
Illinois General Assembly — 815 ILCS 705Franchisors generally must register the FDD with the Illinois Attorney General before offering or selling a franchise in Illinois, unless an exemption applies.
Implementing rules are in the Illinois Administrative Code (Title 14, Part 200).
Illinois General Assembly — Franchise Disclosure Act (815 ILCS 705)The Act also restricts unfair franchise practices, including limits on terminating or failing to renew a franchise without good cause and proper notice.
The specific notice and cure standards are technical; confirm the current requirement before relying on it.
Illinois General Assembly — 815 ILCS 705Key takeaways
- Illinois regulates franchises under the Franchise Disclosure Act of 1987 (815 ILCS 705).
- The Illinois Attorney General administers registration and enforcement.
- Franchisors generally must register before offering or selling in Illinois.
- You should receive the FDD at least 14 days before signing (federal rule).
- Illinois restricts termination/non-renewal without good cause — verify the current standard.
Official resources
Legal-review notes
Guide confidence marker: Medium confidence.
- Confirm current Illinois registration fees and procedures with the Attorney General’s Franchise Bureau.
- Verify the current good-cause, notice, and cure standards under 815 ILCS 705 before relying on them.
Frequently asked questions
Does Illinois require franchise registration?
Yes. Under the Franchise Disclosure Act of 1987 (815 ILCS 705), franchisors generally must register with the Illinois Attorney General before offering or selling a franchise in Illinois, unless an exemption applies.
Where is the Illinois franchise statute?
It is codified at 815 ILCS 705, with implementing rules in the Illinois Administrative Code, Title 14, Part 200.
Does Illinois limit franchise termination?
Yes — the Act restricts terminating or failing to renew a franchise without good cause and proper notice. Confirm the specific standard with a franchise attorney.