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May 9, 2013

Maine franchisees push for more control

Maine franchisees of national chains like McDonald's and Dunkin' Donuts are pushing the Legislature to pass a bill that would give them broader control over their local operations.

MPBN reported franchisees and representatives of multiple national chains clashed during a public hearing Wednesday on the bill — LD 1458 — with supporters arguing that franchisors exert too much control over local operations, like setting prices and hours.

Supporters testifying Wednesday included operators of two Dunkin' Donuts and the operator of nine Burger King restaurants in southern Maine, who also took issue with restrictions on transferring a franchise to a family member.

Opponents of the bill from the Washington D.C.-based International Franchise Association argued that such restrictions are in place to ensure brand integrity and consistency across stores.

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