SD16 - The Virginia Retail Franchising Act

  • Published: 1991
  • Author: Joint Subcommittee
  • Enabling Authority: Senate Joint Resolution 52 (Regular Session, 1990)

Executive Summary:
Senate Joint Resolution No. 52 of the 1990 Acts of Assembly established a joint subcommittee to study the Virginia Retail Franchising Act and to report its findings to the Governor and the General Assembly.

Senator Johnny S. Joannou of Portsmouth was elected Chairman of the joint subcommittee and Delegate Edward R. Harris, Jr., of Lynchburg was elected Vice Chairman. Serving with them on the Subcommittee were Senator W. Onico Barker of Danville, Senator Richard J. Holland of Windsor, Delegate Alson H. Smith, Jr., of Winchester, Delegate Harvey B. Morgan of Gloucester, and Delegate Lewis W. Parker, Jr., of South Hill.

The purpose of the study was to determine whether Virginia's Retail Franchising Act should be conformed to franchise laws of other states. Franchised businesses have a significant impact on the economy of the state and the nation. Laws should facilitate the conduct of franchised business, ensuring fair dealing between franchisor and franchisee while not unduly intruding on the business relationship.

The joint subcommittee, in the course of its deliberations, received valuable information and advice from personnel of the Division of Securities and Retail Franchising of the State Corporation Commission, the International Franchising Association, and legal practitioners that specialize in franchise law. Their suggestions and advice are reflected in the subcommittee's recommendations.