American Franchise Act: The Coalition to Save Local Businesses is really happy to get support from the U.S. House of Representatives Problem Solvers Caucus for the American Franchise Act. This act is also known as H.R. 5267. The Coalition to Save Local Businesses thinks this support is a deal because it shows that the American Franchise Act is getting more popular in Congress. The American Franchise Act is getting a lot of attention and The Coalition to Save Local Businesses is excited, about it.
The coalition, which is made up of people who own businesses, franchise brands and groups that work with these businesses said that this endorsement shows a lot of people from different parties agree that franchised businesses in the United States need to be protected. The coalition thinks this is a deal because it means people from different sides are coming together to support franchise businesses. The coalition wants to make sure that franchise businesses, over the United States are safe.
The American Franchise Act is really gaining speed said Erica Farage, the spokesperson for the Coalition to Save Local Businesses. This support means that lawmakers, from both parties see how important it is to protect the American Franchise Act, which’s a special way for people to move up in the world. The American Franchise Act is also a way to give business owners the confidence they need. The American Franchise Act is something that helps people. It is very American.
The Problem Solvers Caucus has 45 members from the House. These members are split evenly between the Republicans and the Democrats. The Problem Solvers Caucus is about finding solutions that both parties can agree on.
The Problem Solvers Caucus got behind this bill because of Rep. Chuck Edwards from North Carolina and Rep. Don Davis, from North Carolina. They were the ones who started this bill. They led the endorsement. Rep. Chuck Edwards is a Republican and Rep. Don Davis is a Democrat. They are the co-sponsors of the bill.
The American Franchise Act was introduced in 2025. This act is supposed to make things more stable for the American Franchise Act when it comes to the joint-employer standard in franchising. The American Franchise Act is trying to figure out when two companiesre responsible for the same employees. This standard has changed a lot over the ten years because of new presidents. The American Franchise Act supporters think that all these changes have made legal problems more expensive and have been bad, for people who want to work.
The coalition says that the new joint-employer rule that started in 2015 caused problems. It made legal costs go up by 93 percent. The joint-employer rule also led to a lot of people losing their jobs. About 376,000 people lost their jobs, over the country because of the joint-employer rule.
The new law is about the relationship between the franchisor and the franchisee. It does not change the rules for industries. The franchisor will only be considered an employer if they have direct control over important employment terms like the National Labor Relations Board said in their 2020 rule, which is what we are following right now. The franchisor has to be in charge of things, like this for the law to consider them a joint employer of the franchisee.
Supporters argue the measure would provide long-term clarity for franchised businesses and help small business owners continue to grow and create jobs.
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