H.R. 4614

119th CONGRESS 1st Session

To provide a private right of action for persons harmed by violations of the Franchise Rule of the Federal Trade Commission, and for other purposes.

IN THE HOUSE OF REPRESENTATIVES · July 22, 2025 · Sponsor: Ms. Schakowsky · Committee: Committee on the Judiciary

Table of contents

• H.R. 4614
  • SEC. 1. Short title
  • SEC. 2. Private right of action
  • SEC. 3. Right of Association

SEC. 1. Short title

• This Act may be cited as the Franchisee Freedom Act.

SEC. 2. Private right of action

• (a) In general
  • Notwithstanding any other provision of law, any person found to have committed any violation of part 436 of title 16, Code of Federal Regulations, or section 3 of this Act, shall be liable to any person harmed by such violation for—
    • actual damages;
    • additional equitable relief, including rescission of any contract and such other equitable relief as a court may find appropriate; and
    • reasonable attorneys’ fees and costs.
• (b) Jurisdiction and venue
  • Jurisdiction and venue of a civil action under this section shall be concurrent and may be commenced in—
    • the United States District Court in the district in which the claimant resides; or
    • in a State court of competent jurisdiction in the State in which the claimant resides.

SEC. 3. Right of Association

• A franchisor may not, directly or indirectly, restrict a franchisee from associating with other franchisees or from participating in a trade association, including by retaliating against a franchisee for associating with other franchisees or participating in a trade association.