Chairman’s Award for Distinguished Service to the Franchising Community United States Federal Trade Commission

The United States Federal Trade Commission (FTC), has been named the 2008 recipient of the AAFD’s prestigious Chairman’s Award for Distinguished Service and Achievement to the Franchising Community. The Award recognizes the culmination of a 10-year effort to review and update the FTC Franchise Rule, and especially for including a new requirement that franchisors must disclosure independent franchisee associations in Franchise Disclosure Documents (FDD).

Steven Toporoff, an attorney with the FTC, was honored to accept the award on behalf of the Commission. “The Federal Trade Commission is honored to be recognized by the AAFD, an organization that has repeatedly participated in the process while offering valuable input in regards to the FTC Franchise Rule.” Toporoff says. "I greatly appreciate the input of the AAFD during the rulemaking process and I believe that the amended Rule is a better product because of the AAFD involvement."

The Amended Franchise Rule, which was approved on January 22, 2007, is mandatory as of July 1, 2008. One of the new provisions of the Amended Rule is the requirement of the franchisor, if requested by a franchisee association, to disclose details of the independent franchisee association. This rule change now enhances the importance of the franchisee association because prospective franchisees will now be aware of their existence prior to purchasing a franchise.

AAFD Chairman Robert Purvin is proud to acknowledge the FTC, and happy that Steven Toporoff will accept on behalf of the FTC, “Steven has worked for many years as the FTC’s Franchise Program Coordinator, and has always be willing to hear all sides of the issues. There isn’t a more fitting person to accept the award on behalf of the FTC.”