Massachusetts is classified as a non-registration state because there is no state franchise registration, business opportunity exemption registration, or other franchise disclosures required by the state. While the Massachusetts legislature has considered enacting a law that would govern the conduct and termination of the franchise relationship, its efforts have been unsuccessful.
Thus, franchisors in Massachusetts only need to comply with the requirements of the Federal Trade Commission Amended Franchise Rule, 16 C.F.R. §§ 436.1 et seq. (the “FTC Rule”), which, among other things, requires franchisors to disclose to a validly issued Franchise Disclosure Document (FDD) prior to entering into a franchise agreement or accepting any payments from a franchisee.