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He Federal Trade Commission is tasked with verifying the information contained in all disclosure documentation provided by the franchisor to a prospective franchisee.

a) True
b) False

1 Answer

3 votes

Final answer:

The Federal Trade Commission (FTC) is responsible for verifying the information in disclosure documentation provided by a franchisor to a prospective franchisee.

Step-by-step explanation:

The statement is true.The Federal Trade Commission (FTC) is responsible for verifying the information contained in all disclosure documentation provided by the franchisor to a prospective franchisee. The FTC ensures that the franchisor provides accurate and truthful information about the franchise opportunity, including financial performance, terms, and conditions.By reviewing the disclosure documentation, the FTC helps protect prospective franchisees from misleading or deceptive practices, allowing them to make informed decisions before entering into a franchise agreement.

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