Corp. Code, § 31527 · Part 7. FRANCHISE BROKERS
Corp. Code, § 31527
Text — As published in the Legislative Counsel's database, tables dated October 18, 2026 (pubinfo_2025.zip)
For purposes of this part, the Uniform Franchise Broker Disclosure Document shall contain all of the following information:
(a) A franchise broker cover page, as created and modified by the commissioner, that contains standardized language regarding franchise brokers, including, but not limited to, all of the following:
(1) The types of sellers.
(2) The franchise brokers’ role in the franchise sales process.
(3) Services a franchise broker might provide.
(4) Different ways a franchise broker might be compensated for its services.
(5) Examples of questions a prospective franchisee might ask a franchise broker.
(b) All of the following information about the franchise broker:
(1) Legal name.
(2) Trade name.
(3) Year and state of formation.
(4) Principal place of business.
(5) Owners.
(6) Directors and officers.
(7) Contact information.
(8) The franchise broker’s broker network or franchise sales organization.
(c) The franchise broker’s professional experience during the last five years, including, but not limited to, employers, principal positions, each position’s location, and the month and year of each position’s start date and end date.
(d) Administrative, civil, or criminal actions alleging that the franchise broker, or an owner, officer, or director of the franchise broker, violated any franchise, antitrust, or securities law, or committed fraud, unfair or deceptive practices, or similar violations, whether pending or resolved, within the last five years.
(e) The industries of the brands the franchise broker represents and how many brands within each industry the franchise broker represents.
(f) A description of the services performed by the franchise broker.
(g) How the franchise broker is compensated, including, but not limited to, how the amount of any consideration the franchise broker receives is calculated.
(h) Whether a broker network, broker organization, or franchise sales organization may receive any additional consideration.
(i) The brands for whom the franchise broker sold a franchise anywhere in the United States or its territories during the last calendar year for which the franchise broker received or is entitled to receive compensation, including, but not limited to, the total number of units sold for the brand.
Notes and commentary — not statutory text
History
Added by Stats. 2024, Ch. 518, Sec. 5. (SB 919) Effective January 1, 2025. Conditionally operative on or after July 1, 2026, pursuant to Sec. 31528
Source of truth
- Edition
- As published in the Legislative Counsel's database, tables dated October 18, 2026 (pubinfo_2025.zip)
- Official file
- https://leginfo.legislature.ca.gov/faces/codes_displaySection.xhtml?lawCode=CORP§ionNum=31527.
- Text hash
- sha256 c88d1fa98acbc2d16d0c50dc99fe969af873dd0bc4c64a860e4690a6ba692c17
- Composed by
- compose_ca.py 2026-10-22: the Legislative Counsel's CAML content files read by a tokenizer (caml_readers.reader_a); an independent xml.etree reading (caml_readers.reader_b) agrees on every section
Procedural information only. Not legal advice and not a substitute for the advice of an attorney. Confirm the current text with the official publisher before relying on it.