reglab/housing_qa huggingface dataset:
CA Corp Code § 31108 (2021)
2021 California Code|Corporations Code - CORP|TITLE 4 - SECURITIES|DIVISION 5 - FRANCHISE INVESTMENT LAW|PART 2 - REGULATION OF THE SALE OF FRANCHISES|CHAPTER 1 - Exemptions|Section 31108.

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 of a new product or service line to the existing business of a prospective franchisee, provided all of the following requirements are met:(a) For at least the last 24 months prior to the date of sale of the franchise, the prospective franchisee, or if the prospective franchisee is not a natural person, an existing officer, director, or managing agent of the prospective franchisee who has held that position with the prospective franchisee for at least the last 24 months, has been engaged in a business offering products or services substantially similar or related to those to be offered by the franchised business. (b) The new product or service is substantially similar or related to the product or service being offered by the prospective franchisee’s existing business.(c) The franchised business is to be operated from the same business location as the prospective franchisee’s existing business.(d) The parties anticipated, in good faith, at the time the agreement establishing the franchise relationship was reached, that sales resulting from the franchised business will not represent more than 20 percent of the total sales in dollar volume of the franchisee on an annual basis.(e) The prospective franchisee is not controlled by the franchisor.(f) The franchisor files with the commissioner a notice of exemption and pays the fee prescribed in subdivision (f) of Section 31500 prior to an offer or sale of such a franchise in this state during any calendar year in which one or more of those franchises are sold.(Added by Stats. 1999, Ch. 325, Sec. 1. Effective January 1, 2000.)
CA Corp Code § 31109.1 (2021)
2021 California Code|Corporations Code - CORP|TITLE 4 - SECURITIES|DIVISION 5 - FRANCHISE INVESTMENT LAW|PART 2 - REGULATION OF THE SALE OF FRANCHISES|CHAPTER 1 - Exemptions|Section 31109.1.

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, 31121, or 31123 on terms different from the terms of the offer registered thereunder if all of the following requirements are met:(1) The initial offer is the offer registered under Section 31111, 31121, or 31123.(2) The prospective franchisee receives all of the following in a separate written appendix to the franchise disclosure document:(A) A summary description of each material negotiated term that was negotiated by the franchisor for a California franchise during the 12-month period ending in the calendar month immediately preceding the month in which the negotiated offer or sale is made under this section.(B) A statement indicating that copies of the negotiated terms are available upon written request.(C) The name, telephone number, and address of the representative of the franchisor to whom requests for a copy of the negotiated terms may be obtained.(3) The franchisor certifies or declares in an appendix to its application for renewal that it has complied with all of the requirements of this section, in the event this exemption is claimed.(4) The negotiated terms, on the whole, confer additional benefits on the franchisee.(b) The franchisor shall provide a copy of the negotiated terms described in subdivision (a) to the prospective franchisee within five business days following the request of the franchisee.(c) The franchisor shall maintain copies of all material negotiated terms for which this exemption is claimed for a period of five years from the effective date of the first agreement containing the relevant negotiated term. Upon the request of the commissioner, the franchisor shall make the copies available to the commissioner for review. For purposes of this section, the commissioner may prescribe by rule or order the format and content of the summary description of the negotiated terms required by subparagraph (A) of paragraph (2) of subdivision (a).(d) For purposes of this section, “material” means that a reasonable franchisee would view the terms as important in negotiating the franchise.(Amended by Stats. 2013, Ch. 334, Sec. 3. (SB 537) Effective January 1, 2014.)
CA Corp Code § 31110 (2021)
2021 California Code|Corporations Code - CORP|TITLE 4 - SECURITIES|DIVISION 5 - FRANCHISE INVESTMENT LAW|PART 2 - REGULATION OF THE SALE OF FRANCHISES|CHAPTER 2 - Disclosure|Section 31110.

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 registered under this part or exempted under Chapter 1 (commencing with Section 31100) of this part.(Added by Stats. 1970, Ch. 1400.)
CA Corp Code § 31111 (2021)
2021 California Code|Corporations Code - CORP|TITLE 4 - SECURITIES|DIVISION 5 - FRANCHISE INVESTMENT LAW|PART 2 - REGULATION OF THE SALE OF FRANCHISES|CHAPTER 2 - Disclosure|Section 31111.

31111.  (a) The application for registration of an offer shall be filed with the commissioner upon the Uniform Franchise Registration Application, as identified, modified, and supplemented by rule of the commissioner.(b) An authorization for the commissioner to examine the registrant’s financial records of the sale of the franchise pursuant to Section 7473 of the Government Code shall be filed with the application.(Amended by Stats. 1989, Ch. 1026, Sec. 4.)
CA Corp Code § 31112 (2021)
2021 California Code|Corporations Code - CORP|TITLE 4 - SECURITIES|DIVISION 5 - FRANCHISE INVESTMENT LAW|PART 2 - REGULATION OF THE SALE OF FRANCHISES|CHAPTER 2 - Disclosure|Section 31112.

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 manner provided in the Code of Civil Procedure for the verification of pleadings.(Amended by Stats. 1988, Ch. 562, Sec. 7.)
CA Corp Code § 31113 (2021)
2021 California Code|Corporations Code - CORP|TITLE 4 - SECURITIES|DIVISION 5 - FRANCHISE INVESTMENT LAW|PART 2 - REGULATION OF THE SALE OF FRANCHISES|CHAPTER 2 - Disclosure|Section 31113.

31113.  If the commissioner finds that it is necessary and appropriate for the protection of prospective franchisees or subfranchisors because the applicant has failed to demonstrate that adequate financial arrangements have been made to fulfill the franchisor’s obligations to provide real estate, improvements, equipment, inventory, training, or other items included in the offering, the commissioner may by rule or order require the escrow or impound of franchisee fees and other funds paid by the franchisee or subfranchisor until such obligations have been satisfied. At the option of the franchisor, the franchisor may furnish a surety bond as provided by rule of the commissioner.(Amended by Stats. 1982, Ch. 517, Sec. 195.)
CA Corp Code § 31114 (2021)
2021 California Code|Corporations Code - CORP|TITLE 4 - SECURITIES|DIVISION 5 - FRANCHISE INVESTMENT LAW|PART 2 - REGULATION OF THE SALE OF FRANCHISES|CHAPTER 2 - Disclosure|Section 31114.

31114.  The application for registration shall be accompanied by a proposed franchise disclosure document, which shall contain the material information set forth in the application for registration, as specified by rule of the commissioner, and such additional disclosures as the commissioner may require. The franchise disclosure document shall recite in bold type of not less than 10-point type that registration does not constitute approval, recommendation, or endorsement by the commissioner.(Amended by Stats. 2013, Ch. 334, Sec. 4. (SB 537) Effective January 1, 2014.)
CA Corp Code § 31115 (2021)
2021 California Code|Corporations Code - CORP|TITLE 4 - SECURITIES|DIVISION 5 - FRANCHISE INVESTMENT LAW|PART 2 - REGULATION OF THE SALE OF FRANCHISES|CHAPTER 2 - Disclosure|Section 31115.

31115.  The commissioner may summarily issue a stop order denying the effectiveness of or suspending or revoking effectiveness of any registration if the commissioner finds:(a) That there has been a failure to comply with any of the provisions of this law or the rules of the commissioner pertaining thereto.(b) That the offer or sale of the franchise would constitute misrepresentation to, or deceit or fraud of the purchasers, or that, in the case of a franchise other than a subfranchise, a major inducement to prospective franchisees is fees or other compensation from participation in the sale of additional franchises.(c) That the applicant has failed to comply with any rule or order of the commissioner issued pursuant to Section 31113.(d) That any person identified in the application or any officer or director of the franchisor, whether or not identified in the application, meets one or more of the following conditions, and the involvement of this person in the sale or management of the franchise creates an unreasonable risk to prospective franchisees:(1) Has been convicted of a felony, or pleaded nolo contendere to a felony charge, or held liable in a civil action by final judgment if the felony or civil action involved fraud, embezzlement, fraudulent conversion, or misappropriation of property.(2) Is subject to any currently effective order of the Securities and Exchange Commission or the securities administrator of any state denying registration to or revoking or suspending the registration of the person as a securities broker or dealer or investment adviser or is subject to any currently effective order of any national securities association or national securities exchange (as defined in the Securities Exchange Act of 1934) suspending or expelling the person from membership in the association or exchange.(3) Is subject to any currently effective order or ruling of the Federal Trade Commission.(4) Is subject to any currently effective injunctive or restrictive order relating to business activity as a result of an action brought by any public agency or department, including, without limitation, actions affecting a license as a real estate broker or sales person.(Amended by Stats. 2019, Ch. 143, Sec. 54. (SB 251) Effective January 1, 2020.)
CA Corp Code § 31116 (2021)
2021 California Code|Corporations Code - CORP|TITLE 4 - SECURITIES|DIVISION 5 - FRANCHISE INVESTMENT LAW|PART 2 - REGULATION OF THE SALE OF FRANCHISES|CHAPTER 2 - Disclosure|Section 31116.

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 automatically becomes effective at 12 p.m., California time, of the 30th business day after the filing of a complete application for registration or the last preeffective amendment thereto, or at an earlier time that the commissioner determines.(b) With respect to any application for registration or the last amendment thereto filed between January 1, 1971, and March 15, 1971, if no stop order under Section 31115 is in effect under this law, registration becomes effective on April 15, 1971; with respect to any application filed after March 15, 1971, and before May 10, 1971, if no stop order under Section 31115 is in effect under this law, registration becomes effective on June 1, 1971, or the 15th business day after the filing, whichever is the later, or at an earlier time that the commissioner determines.(c) For purposes of this section, “complete application” means an application that contains the appropriate filing fee, Uniform Franchise Disclosure Document, and all additional exhibits, including financial statements in conformity with regulations of the commissioner. “Preeffective amendment” means an amendment to an application that is filed before the effective date of the registration of the sale of franchises.(Amended by Stats. 2015, Ch. 303, Sec. 48. (AB 731) Effective January 1, 2016.)
CA Corp Code § 31117 (2021)
2021 California Code|Corporations Code - CORP|TITLE 4 - SECURITIES|DIVISION 5 - FRANCHISE INVESTMENT LAW|PART 2 - REGULATION OF THE SALE OF FRANCHISES|CHAPTER 2 - Disclosure|Section 31117.

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 and that upon receipt of written request the matter will be set down for hearing to commence within 15 business days after such receipt unless the applicant consents to a later date. If no hearing is requested within 30 days after receipt of the notice and none is ordered by the commissioner, the order will remain in effect until it is modified or vacated by the commissioner. If a hearing is requested or ordered, the commissioner, after notice and hearing in accordance with the provisions of Chapter 5 (commencing with Section 11500) of Part 1 of Division 3 of Title 2 of the Government Code, in connection with which the commissioner shall have all of the powers granted thereunder, may modify or vacate the order or extend it until its final determination.(Amended by Stats. 1988, Ch. 562, Sec. 9.)
CA Corp Code § 31118 (2021)
2021 California Code|Corporations Code - CORP|TITLE 4 - SECURITIES|DIVISION 5 - FRANCHISE INVESTMENT LAW|PART 2 - REGULATION OF THE SALE OF FRANCHISES|CHAPTER 2 - Disclosure|Section 31118.

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 public interest to do so.(Amended by Stats. 2014, Ch. 64, Sec. 7. (AB 2742) Effective January 1, 2015.)
CA Corp Code § 31119 (2021)
2021 California Code|Corporations Code - CORP|TITLE 4 - SECURITIES|DIVISION 5 - FRANCHISE INVESTMENT LAW|PART 2 - REGULATION OF THE SALE OF FRANCHISES|CHAPTER 2 - Disclosure|Section 31119.

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 least 14 days prior to the execution by the prospective franchisee of any binding franchise or other agreement, or at least 14 days prior to the receipt of any consideration, whichever occurs first, a copy of the franchise disclosure document, together with a copy of all proposed agreements relating to the sale of the franchise.(b) Nothing in this division shall be construed to prevent a franchisor from providing copies of the franchise disclosure documents to prospective franchisees through electronic means pursuant to any requirements or conditions that may be imposed by rule or order of the commissioner.(Amended by Stats. 2013, Ch. 334, Sec. 5. (SB 537) Effective January 1, 2014.)
CA Corp Code § 31120 (2021)
2021 California Code|Corporations Code - CORP|TITLE 4 - SECURITIES|DIVISION 5 - FRANCHISE INVESTMENT LAW|PART 2 - REGULATION OF THE SALE OF FRANCHISES|CHAPTER 2 - Disclosure|Section 31120.

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 rule specifies a different period.(Added by Stats. 1970, Ch. 1400.)
CA Corp Code § 31121 (2021)
2021 California Code|Corporations Code - CORP|TITLE 4 - SECURITIES|DIVISION 5 - FRANCHISE INVESTMENT LAW|PART 2 - REGULATION OF THE SALE OF FRANCHISES|CHAPTER 2 - Disclosure|Section 31121.

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 submitting to the commissioner a renewal application before the expiration of the registration. If no stop order or other order under Section 31115 is in effect under this law, registration of the offer of the franchises automatically becomes renewed effective at 12 p.m., California time, of the 30th business day after the filing of a complete application for registration or the last preeffective amendment or at an earlier time that the commissioner determines.(b) For purposes of this section, “complete application” means an application that contains the appropriate filing fee, Uniform Franchise Disclosure Document, and all additional exhibits, including financial statements in conformity with regulations of the commissioner. “Preeffective amendment” means an amendment to an application that is filed before the effective date of the registration of the sale of franchises.(Amended by Stats. 2015, Ch. 303, Sec. 49. (AB 731) Effective January 1, 2016.)
CA Corp Code § 31122 (2021)
2021 California Code|Corporations Code - CORP|TITLE 4 - SECURITIES|DIVISION 5 - FRANCHISE INVESTMENT LAW|PART 2 - REGULATION OF THE SALE OF FRANCHISES|CHAPTER 2 - Disclosure|Section 31122.

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. Each such registration renewal statement shall be accompanied by the fee prescribed in Part 5 (commencing with Section 31500) of this division.(Added by Stats. 1970, Ch. 1400.)
CA Corp Code § 31123 (2021)
2021 California Code|Corporations Code - CORP|TITLE 4 - SECURITIES|DIVISION 5 - FRANCHISE INVESTMENT LAW|PART 2 - REGULATION OF THE SALE OF FRANCHISES|CHAPTER 2 - Disclosure|Section 31123.

31123.  A franchisor shall promptly notify the commissioner in writing, by an application to amend the registration, of any material change in the information contained in the application as originally submitted, amended or renewed. The commissioner may by rule further define what shall be considered a material change for such purposes, and the circumstances under which a revised offering prospectus must accompany such application.(Added by Stats. 1970, Ch. 1400.)
CA Corp Code § 31124 (2021)
2021 California Code|Corporations Code - CORP|TITLE 4 - SECURITIES|DIVISION 5 - FRANCHISE INVESTMENT LAW|PART 2 - REGULATION OF THE SALE OF FRANCHISES|CHAPTER 2 - Disclosure|Section 31124.

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, shall become effective on such date as the commissioner may determine, having due regard for the public interest and the protection of franchisees.(Added by Stats. 1970, Ch. 1400.)
CA Corp Code § 31150 (2021)
2021 California Code|Corporations Code - CORP|TITLE 4 - SECURITIES|DIVISION 5 - FRANCHISE INVESTMENT LAW|PART 2 - REGULATION OF THE SALE OF FRANCHISES|CHAPTER 3 - General Provisions|Section 31150.

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 accounts of such sales.(Added by Stats. 1970, Ch. 1400.)
CA Corp Code § 31151 (2021)
2021 California Code|Corporations Code - CORP|TITLE 4 - SECURITIES|DIVISION 5 - FRANCHISE INVESTMENT LAW|PART 2 - REGULATION OF THE SALE OF FRANCHISES|CHAPTER 3 - General Provisions|Section 31151.

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 applicant or any interested party, on any question of fact concerning or affecting the franchises proposed to be offered and sold. In lieu of, or in addition to, such opinions, appraisements, and reports, the commissioner may have any or all matters concerning or affecting such franchises investigated, appraised, passed upon and certified to him by engineers, appraisers or other experts selected by him.(Added by Stats. 1970, Ch. 1400.)
CA Corp Code § 31152 (2021)
2021 California Code|Corporations Code - CORP|TITLE 4 - SECURITIES|DIVISION 5 - FRANCHISE INVESTMENT LAW|PART 2 - REGULATION OF THE SALE OF FRANCHISES|CHAPTER 3 - General Provisions|Section 31152.

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 subsequent application filed under this law if it was filed within four years prior to the filing of such application, or is otherwise available in the files of the commissioner, to the extent that the document is currently accurate.(Added by Stats. 1970, Ch. 1400.)
CA Corp Code § 31153 (2021)
2021 California Code|Corporations Code - CORP|TITLE 4 - SECURITIES|DIVISION 5 - FRANCHISE INVESTMENT LAW|PART 2 - REGULATION OF THE SALE OF FRANCHISES|CHAPTER 3 - General Provisions|Section 31153.

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.(Added by Stats. 1970, Ch. 1400.)
CA Corp Code § 31154 (2021)
2021 California Code|Corporations Code - CORP|TITLE 4 - SECURITIES|DIVISION 5 - FRANCHISE INVESTMENT LAW|PART 2 - REGULATION OF THE SALE OF FRANCHISES|CHAPTER 3 - General Provisions|Section 31154.

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 constitutes a finding by the commissioner that any document filed under this law is true, complete or not misleading. Neither any such fact nor the fact that an exemption is available for a transaction means that the commissioner has passed in any way upon the merits or qualifications of, or recommended or given approval to, any person, franchise or transaction.(b) It is unlawful to make or cause to be made to any prospective purchaser or offeree any representation inconsistent with subdivision (a) of this section. (Added by Stats. 1970, Ch. 1400.)
CA Corp Code § 31155 (2021)
2021 California Code|Corporations Code - CORP|TITLE 4 - SECURITIES|DIVISION 5 - FRANCHISE INVESTMENT LAW|PART 2 - REGULATION OF THE SALE OF FRANCHISES|CHAPTER 3 - General Provisions|Section 31155.

31155.  Every applicant for registration of an offer to sell franchises under this law, by other than a California corporation, California limited partnership, or California limited liability company, shall file with the commissioner, in such form as he or she by rule prescribed, an irrevocable consent appointing the commissioner or his or her successor in office to be his or her attorney to receive service of any lawful process in any noncriminal suit, action or proceeding against him or her or his or her successor, executor or administrator, which arises under this law or any rule or order hereunder after the consent has been filed, with the same force and validity as if served personally on the person filing the consent. A person who has filed such a consent in connection with a previous registration under this law need not file another. Service may be made by leaving a copy of the process in the office of the commissioner but it is not effective unless (a) the plaintiff, who may be the commissioner in a suit, action, or proceeding instituted by him or her, forthwith sends notice of the service and a copy of the process by registered or certified mail to the defendant or respondent at his or her last address on file with the commissioner, and (b) the plaintiff’s affidavit of compliance with this section is filed in the case on or before the return day of the process, if any, or within such further time as the court allows.(Amended by Stats. 2009, Ch. 140, Sec. 41. (AB 1164) Effective January 1, 2010.)
CA Corp Code § 31156 (2021)
2021 California Code|Corporations Code - CORP|TITLE 4 - SECURITIES|DIVISION 5 - FRANCHISE INVESTMENT LAW|PART 2 - REGULATION OF THE SALE OF FRANCHISES|CHAPTER 3 - General Provisions|Section 31156.

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 advertisement has been filed in the office of the commissioner at least three business days prior to the first publication or such shorter period as the commissioner by rule or order may allow, or unless such advertisement has been exempted by rule of the commissioner.(Added by Stats. 1970, Ch. 1400.)