Finding the Balance In Franchise Broker Regulation Among Franchisees, Franchisors And Franchise Brokers By: Ann Hurwitz, Partner, Piper Rudnick and Michael Seid, Managing Director, Michael H. Seid & Associates There has been much discussion in recent months about the scope of franchise broker regulation. Much of the debate has centered on who is properly considered a broker, as well as the regulatory compliance obligations that those who are brokers and the franchisors who deal with them must satisfy. Some have questioned whether existing regulations are overly burdensome or impractical given the way in which business is conducted today, resulting in a general decline in the level of compliance. In addition, critical concerns have been raised as to whether the existing regulations adequately fulfill the stated regulatory purpose of providing accurate, material presale disclosure to prospective franchisees.