What are some examples of federal laws that a Carls Jr. franchisee must comply with?
Carls_Jr Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee shall secure and maintain in force in its name all required licenses, permits and certificates relating to the operation of the Franchised Restaurant. It is Franchisee's sole and absolute obligation to research all applicable federal, state and local laws and regulations governing the operation of the Franchised Restaurant and to ensure that such operation does not violate any federal, state or local law or regulation. For example, there are various federal laws that could affect the Franchised Restaurant and Franchisee must comply with such as the American with Disabilities Act (ADA), the CAN-SPAM Act, the Telephone Consumer Protection Act (TCPA), the Telemarketing Sales Rule (TSR), and other federal and state anti-solicitation laws regulating marketing phone calls; and federal and state laws that regulate data security and privacy (including but not limited to the use, storage, transmission, and disposal of data regardless of media type). Franchisee must investigate these laws to understand your potential legal obligations. Further, Franchisee shall operate the Franchised Restaurant in full compliance with all applicable laws, ordinances and regulations governing or relating to the handling of food products, immigration and discrimination, occupational hazards and health insurance, employment laws, including, without limitation, worker's compensation insurance, unemployment insurance, and the withholding and payment of federal and state income taxes, social security taxes and sales taxes.
Source: Item 22 — CONTRACTS (FDD pages 75–76)
What This Means (2025 FDD)
According to the 2025 Carls Jr. Franchise Disclosure Document, franchisees are responsible for researching and adhering to all applicable federal, state, and local laws and regulations pertinent to operating their franchised restaurant. This includes securing and maintaining all necessary licenses, permits, and certificates.
Carls Jr. specifies several federal laws as examples that may affect the franchised restaurant. These include the Americans with Disabilities Act (ADA), which ensures accessibility and prohibits discrimination based on disability; the CAN-SPAM Act, which regulates commercial email; the Telephone Consumer Protection Act (TCPA), which restricts telemarketing calls and the use of automated telephone equipment; and the Telemarketing Sales Rule (TSR), which governs telemarketing practices.
Additionally, franchisees must comply with federal and state laws that regulate data security and privacy, covering the use, storage, transmission, and disposal of data, regardless of the media type. Franchisees are also obligated to adhere to laws concerning food handling, immigration, discrimination, occupational hazards, health insurance, employment, worker's compensation, unemployment insurance, and the withholding and payment of federal and state income taxes, social security taxes, and sales taxes. This comprehensive list underscores the importance of legal compliance in operating a Carls Jr. franchise.