If a Franchisor Breaches the Franchising Code of Conduct, the Court

question 33

Multiple Choice

If a franchisor breaches the Franchising Code of Conduct, the court is least likely to:

• A)Grant an injunction to stop the conduct.
• B)Order corrective advertising.
• C)Order the franchisor to pay damages.
• D)Impose a jail term upon the franchisor.

---

Definitions:

Preset Level

A predetermined or established level or standard that needs to be achieved or which serves as a benchmark for performance or operation.

Implicit Favorite

An unspoken preference or bias towards a particular option or choice in decision-making processes.

Escalation of Commitment

A psychological process whereby an individual continues to support a failing course of action due to cognitive biases, loss aversion, and sunk costs.

Decision-making Skills

The ability to evaluate information, consider alternatives, and choose the most appropriate course of action.