Federal Fair Franchising Practices Act of 1992

[AI summary unavailable — showing source text] Federal Fair Franchising Practices Act of 1992 - Provides that a franchise shall include an implied duty by a party to the franchise to act in good faith in the performance and enforcement of the rights and duties established in the franchise, including an obligation, in making a decision or in exercising a power that directly affects the franchise or the franchised business concerned, to give due and equal regard to an interest of any other such party that is likely to be affected by the decision made or the power exercised. Requires the franchisor, in its undertaking with a franchisee, to exercise the skill and knowledge normally possessed by franchisors in good standing in similar communities or trade areas, unless the franchisor: (1) represents that it has greater skill or knowledge; or (2) conspicuously disclaims that it has the normal skill or knowledge. Specifies that such duty may not be disclaimed or qualified by agreement or by conduct, but a franchisor may by written agreement define specifically the nature and scope of its skill or knowledge and of its undertaking with a franchisee. Permits a franchisor that has delivered to a prospective franchisee a valid offering cir…