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FTC Announces Increases in Exemption Thresholds

The FTC recently announced that dollar thresholds for various exemptions have increased, as contemplated under the 2008 Franchise Rule amendments. The “initial required payment” threshold increased from $500 to $540; the “large investment exemption” threshold increased from $1,000,000 to $1,084,900; and the “large franchisee exemption” threshold increased from $5,000,000 to $5,424,500. These changes were announced on June 13, 2012, and go into effect on July 1, 2012.

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