Franchisee Freedom Act

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4614 Introduced in House (IH)]

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119th CONGRESS
  1st Session
                                H. R. 4614

 To provide a private right of action for persons harmed by violations 
 of the Franchise Rule of the Federal Trade Commission, and for other 
                               purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             July 22, 2025

 Ms. Schakowsky (for herself, Mr. Johnson of Georgia, and Mr. Huffman) 
 introduced the following bill; which was referred to the Committee on 
                             the Judiciary

_______________________________________________________________________

                                 A BILL


 
 To provide a private right of action for persons harmed by violations 
 of the Franchise Rule of the Federal Trade Commission, and for other 
                               purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Franchisee Freedom Act''.

SEC. 2. PRIVATE RIGHT OF ACTION.

    (a) In General.--Notwithstanding any other provision of law, any 
person found to have committed any violation of part 436 of title 16, 
Code of Federal Regulations, or section 3 of this Act, shall be liable 
to any person harmed by such violation for--
            (1) actual damages;
            (2) additional equitable relief, including rescission of 
        any contract and such other equitable relief as a court may 
        find appropriate; and
            (3) reasonable attorneys' fees and costs.
    (b) Jurisdiction and Venue.--Jurisdiction and venue of a civil 
action under this section shall be concurrent and may be commenced in--
            (1) the United States District Court in the district in 
        which the claimant resides; or
            (2) in a State court of competent jurisdiction in the State 
        in which the claimant resides.

SEC. 3. RIGHT OF ASSOCIATION.

    A franchisor may not, directly or indirectly, restrict a franchisee 
from associating with other franchisees or from participating in a 
trade association, including by retaliating against a franchisee for 
associating with other franchisees or participating in a trade 
association.
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