# Franchise agreement review
> Source: https://legalcode.md/skills/legalcode-franchise-agreement-review | [HTML version](https://legalcode.md/skills/legalcode-franchise-agreement-review)

Review franchise agreements and Franchise Disclosure Documents (FDD/disclosure documents) clause-by-clause against regulatory requirements and market standards…

Review franchise agreements and Franchise Disclosure Documents (FDD/disclosure documents) clause-by-clause against regulatory requirements and market standards — flag deviations, generate confidence-scored redlines, and produce an auditable analysis covering initial franchise fees and ongoing royalties, territory rights and exclusivity, intellectual property and trademark licenses, quality control and operations manual compliance, advertising fund contributions, training and support obligations, term and renewal rights, transfer and assignment restrictions, termination and post-termination obligations, non-compete and restrictive covenants, financial performance representations (Item 19), and dispute resolution. Use when reviewing franchise agreements as a prospective franchisee, existing franchisee renegotiating terms, or franchisor ensuring compliance. Covers US (FTC Franchise Rule, state registration), EU (country-specific disclosure laws), UK (BFA Code, common law), and Australia (Franchising Code of Conduct 2025). GREEN/YELLOW/RED classification with redlines for franchisee-favorable and franchisor-favorable positions. Produces Glass Box audit trail, negotiation priority tiers, and stakeholder impact map.

This skill reviews franchise agreements and associated disclosure documents (FDD in the US, disclosure documents elsewhere) clause-by-clause against regulatory requirements, industry standards, and organizational playbooks. It identifies deviations from market norms and legal requirements, classifies their severity, generates actionable redline suggestions, and produces a confidence-scored, auditable analysis with a negotiation priority framework. **Covers:** - Clause-by-clause analysis of franchise agreements and disclosure documents - FDD Item-by-Item compliance review (US) or equivalent disclosure review (EU/UK/AU) - GREEN / YELLOW / RED deviation classification with confidence scoring - Redline generation with franchisee-favorable and franchisor-favorable positions - 16 franchise clause categories (8 deep, 8 standard) - Missing clause detection and regulatory gap analysis - Negotiation priority tiers (Tier 1 / Tier 2 / Tier 3) - Stakeholder impact mapping (franchisee, franchisor, guarantors, lenders, landlords) - Business impact assessment for each material deviation - Quality-verified output with Glass Box audit trail - Jurisdiction-aware analysis for US, EU, UK, and Australia **Does not:** - Draft new franchise agreements from scratch (see `legalcode-franchise-drafter` when available) - Provide legal advice or replace qualified franchise counsel - Substitute for due diligence on the franchisor's business, litigation history, or financial health - Apply to business opportunity sales that do not ...

## Jurisdictions

Global



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