Last Summer the Federal Trade Commission put forth a report for the Franchise Industry; 432 pages of study. This report asks Franchise Industry participants to comment on only certain aspects of franchising which were addressed between 1995 to 1999. It is good to see that the FTC is finally doing something after 10-years of sitting on their rear ends with a stick up their butts, however one has to ask what about the issues between 1999 and 2005. Thus this exercise is completely flawed if it’s goal is to bring the franchise rule up to date with consideration to the newest technologies of today in 2005. The process was also started during the ned of an election cycle. They should have known then that when Bush was re-elected it was quite conceivable that there would be a downsizing in government due to Federal debt loads as well as a downsizing of staff.

The expanding market will pick up those who are willing to put in an honest days work in the real world. So, then we need to look at simplifying the process to run more efficiently at the Federal Trade Commission with fewer people, since they will be out on the street, which is where they should be after terrorizing American Businesses and Franchisors. The easiest way to do this is to make the rules simple for less unnecessary opinions, case filings and regulatory oversight at the Federal Trade Commission, since there are other more important things to work on.

If Kerry were elected there is no doubt that larger businesses would call for more domestic and international protection of their markets and less regulation, thus more exemptions for larger corporations. The comments in this report reflecting million dollar accredited investors or sophisticated and knowledgeable investors would be very apropos to a Kerry Administration judging by his senatorial voting record. This would also mean these rules we are discussing now will continue into the next period in a political climate calling for less regulation not more.

Either way the FTC Franchising Division knew or should have known that the near future trend will be less government spending and less regulation. The country cannot survive and prosper borrowing two-billion dollars per week with consumer and capital money flows going out of the country at this rate due to greener pastures for manufacturing, outsourcing and investment for relief from over regulation and future unanticipated taxation.

The Federal Trade Commission has no business meddling with the franchising industry as there are no real issues in franchising of any significance hurting consumers; fraud is non-existent. John Edwards if he became the Vice President might like to see more trial lawyer suits to command presence and there would have been a switch from government control of law or referee scenarios of the game to controlling by private right of action.

The Federal Trade Commission’s job then might be more aligned to this present way of doing things here in this report. Taking advice from outside attorneys who wish to use the government to manipulate laws making more lawsuits possible and continued higher awards, which is where the Federal Trade Commission in this rule-making endeavor is taking us now. Think about it.

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