Definition
Programs that accept and, where possible, attempt to resolve complaints regarding misrepresentation of potential sales income or profits, failure to disclose facts about business and franchise relationships, failure to make promised refunds or other unethical franchise business practices. Also included are complaints about distributorships which sell products that are created and marketed by another company. Issues that lead to complaints (or later, litigation) by parties to the agreement may involve problems with availability of sufficient quantities of the product for the distributor to sell, frequency of price changes by the manufacturer, overly aggressive monitoring by the manufacturer, termination of the agreement by one party, but not both, and disagreement about changes that need to be made regarding the arrangement.
URL Name
DD-1500-3800
Third Level Code
DD-1500
Taxonomy Code
DD-1500.3800
Parent Code
DD-1500
Family Code
D
Second Level Code
DD
Fourth Level Code
DD-1500-3800
Use References
Distributorship Complaints, Franchise Industry Complaints
Publication Status
Online