PART 2. REGULATION OF THE SALE OF FRANCHISES [31100. - 31158.]

Part 2 added by Stats. 1970, Ch. 1400.

§§ 31100–31158 · 37 sections

1. CHAPTER 1. Exemptions §§ 31100–31109.1 · 11 sections

   • § 31100 There shall be exempted from any or all of the provisions of Chapter 2 (commencing with Section 31110) any other transaction which the commissioner by rule…
   • § 31101 There shall be exempted from the provisions of Chapter 2 (commencing with Section 31110) of this part the offer and sale of a franchise if the franchisor…
   • § 31102 The offer or sale of a franchise by a franchisee for his own account or the offer or sale of the entire area franchise owned by a subfranchisor for his own…
   • § 31103 This division shall not be applicable to any transaction relating to a bank credit card plan. “Bank credit card plan” means a credit card plan in which the…
   • § 31104 There shall be exempted from the provisions of Chapter 2 (commencing with Section 31110) of this part the offer and sale of a franchise if the franchisor: (a)…
   • § 31105 Any offer, sale, or other transfer of a franchise, or any interest in a franchise, to a resident of another state or any territory or foreign country, shall be…
   • § 31106 There shall be exempted from the provisions of Chapter 2 (commencing with Section 31110) of this part, any offer, sale, or other transfer of a franchise or any…
   • § 31107 There shall be exempted from the provisions of Chapter 2 (commencing with Section 31110) of this part, any offer (but not the sale) by a franchisor of a…
   • § 31108 There shall be exempted from the provisions of Chapter 2 (commencing with Section 31110), any offer or sale of a franchise if the franchise involves the adding…
   • § 31109 Any offer or sale of a franchise that meets all of the following requirements shall be exempt from Chapter 2 (commencing with Section 31110): (a) Each and…
   • § 31109.1 (a) There shall be exempted from the provisions of Chapter 2 (commencing with Section 31110) the offer and sale of a franchise registered under Section 31111,…
2. CHAPTER 2. Disclosure §§ 31110–31126 · 17 sections

   • § 31110 On and after April 15, 1971, it shall be unlawful for any person to offer or sell any franchise in this state unless the offer of the franchise has been…
   • § 31111 (a) The application for registration of an offer shall be filed with the commissioner upon the Uniform Franchise Registration Application, as identified,…
   • § 31112 Any application or amendment under this law shall be signed and verified by the franchisor or by the subfranchisor. Such verification shall be in the same…
   • § 31113 If the commissioner finds that it is necessary and appropriate for the protection of prospective franchisees or subfranchisors because the applicant has failed…
   • § 31114 The application for registration shall be accompanied by a proposed franchise disclosure document, which shall contain the material information set forth in…
   • § 31115 The commissioner may summarily issue a stop order denying the effectiveness of or suspending or revoking effectiveness of any registration if the commissioner…
   • § 31116 (a) Except as provided in subdivision (b), if no stop order under Section 31115 is in effect under this law, registration of the offer of franchises…
   • § 31117 Upon the entry of a stop order under Section 31115 the commissioner shall promptly notify the applicant that it has been entered and of the reasons therefor…
   • § 31118 The commissioner may vacate or modify a stop order if he or she finds that the conditions which caused its entry have changed or that it is otherwise in the…
   • § 31119 (a) It is unlawful to sell any franchise in this state that is subject to registration under this law without first providing to the prospective franchisee, at…
   • § 31120 A franchise offering shall be deemed duly registered for a period of one year from the effective date of the registration, unless the commissioner by order or…
   • § 31121 (a) The registration may be renewed for additional periods of one year each, unless the commissioner by rule or order specifies a different period, by…
   • § 31122 The registration renewal statement shall be in the form and content prescribed by the commissioner, and shall be accompanied by a proposed offering prospectus.…
   • § 31123 A franchisor shall promptly notify the commissioner in writing, by an application to amend the registration, of any material change in the information…
   • § 31124 An amendment to an application filed after the effective date of the registration of the sale of franchises, if such amendment is approved by the commissioner,…
   • § 31125 (a) An application for registration of a material modification of an existing franchise or of existing franchises shall be in a form and contain information as…
   • § 31126 (a) A prospective franchisee seeking to buy an existing franchise, all or substantially all of the assets of an existing franchise business, or an interest in…
3. CHAPTER 3. General Provisions §§ 31150–31158 · 9 sections

   • § 31150 Every franchisor or subfranchisor offering franchises for sale in this state shall at all times keep and maintain a complete set of books, records, and…
   • § 31151 The commissioner may accept and act upon the opinions, appraisements and reports of any engineers, appraisers, or other experts which may be presented by an…
   • § 31152 Any document filed under this law or under the Corporate Securities Law of 1968 or a predecessor statute thereto may be incorporated by reference in a…
   • § 31153 In any proceeding under this law, the burden of proving an exemption or an exception from a definition is upon the person claiming it.
   • § 31154 (a) Neither (1) the fact that an application for registration under this law has been filed, nor (2) the fact that such registration has become effective…
   • § 31155 Every applicant for registration of an offer to sell franchises under this law, by other than a California corporation, California limited partnership, or…
   • § 31156 No person shall publish in this state any advertisement offering a franchise subject to the registration requirements of this law unless a true copy of the…
   • § 31157 No person shall publish any advertisement concerning any franchise in this state after the commissioner finds that the advertisement contains any statement…
   • § 31158 (a) Notwithstanding any other law, the commissioner may by rule or order prescribe circumstances under which to accept electronic records or electronic…