A Court May Decide That a Franchisor Has Wrongfully Terminated

question 30

True/False

A court may decide that a franchisor has wrongfully terminated a franchise if the franchisor's decision to do so was made in the normal course of business.

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Definitions:

Common Stock

Certificates issued by a corporation to investors as proof of their ownership rights; an account representing the ownership rights of investors in a corporation; a class of stock issued by a corporation that bears no preference rights.

Market Price

The amount at which an asset or service could be bought or sold in a current transaction between willing parties.

Management's Discussion

A section of a company’s annual report where management presents an analysis of the company’s performance, future prospects, and financial health.

Annual Reports

Comprehensive statements that provide information on a company's activities, financial performance, and strategy over the past fiscal year.