{"code":"CORP","codeName":"Corporations Code","section":"31020","citation":"Corp. Code, § 31020","status":"in-force","lawOn":"2026-09-28","headings":[{"name":"TITLE 4. SECURITIES [25000. - 31528.]","url":"https://blackletter.si/corporations-code/title-4"},{"name":"DIVISION 5. FRANCHISE INVESTMENT LAW [31000. - 31528.]","url":"https://blackletter.si/corporations-code/title-4/division-5"},{"name":"PART 1. DEFINITIONS [31000. - 31020.]","url":"https://blackletter.si/corporations-code/title-4/division-5/part-1"}],"history":"Added by Stats. 2024, Ch. 518, Sec. 1.   (SB 919)   Effective January 1, 2025.","effective":"2025-01-01","html":"<p>(a) “Franchise broker” means a person who directly or indirectly engages in the business of the offer or sale of a franchise, regardless of the title used by the person or any organization with which they are affiliated, and receives or is promised a fee, commission, or other form of consideration from a franchisor, subfranchisor, franchisee, or affiliate of a franchisor, subfranchisor, or franchisee. Common titles franchise brokers use include, but are not limited to, franchise seller, broker network, broker organization, franchise sales organization, consultant, and coach.</p><p>(b) A “franchise broker” does not include any of the following:</p><p>(1) A franchisor or its officers, directors, or employees.</p><p>(2) A subfranchisor or its officers, directors, or employees.</p><p>(3) An area representative or its officers, directors, or employees.</p><p>(4) An employee of an affiliate of a franchisor or subfranchisor.</p><p>(5) A franchisee of the franchise offering being presented to a prospective franchisee, unless the franchisee operates a franchised broker business.</p>","text":"(a) “Franchise broker” means a person who directly or indirectly engages in the business of the offer or sale of a franchise, regardless of the title used by the person or any organization with which they are affiliated, and receives or is promised a fee, commission, or other form of consideration from a franchisor, subfranchisor, franchisee, or affiliate of a franchisor, subfranchisor, or franchisee. Common titles franchise brokers use include, but are not limited to, franchise seller, broker network, broker organization, franchise sales organization, consultant, and coach. (b) A “franchise broker” does not include any of the following: (1) A franchisor or its officers, directors, or employees. (2) A subfranchisor or its officers, directors, or employees. (3) An area representative or its officers, directors, or employees. (4) An employee of an affiliate of a franchisor or subfranchisor. (5) A franchisee of the franchise offering being presented to a prospective franchisee, unless the franchisee operates a franchised broker business.","otherVersions":[],"url":"https://blackletter.si/corporations-code/definitions-31020","source":"California Legislative Information bulk export (pubinfo)"}