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Florida Statute 817.416 | Lawyer Caselaw & Research
F.S. 817.416 Case Law from Google Scholar
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Link to State of Florida Official Statute Google Search for Amendments to 817.416

The 2023 Florida Statutes (including Special Session C)

Title XLVI
CRIMES
Chapter 817
FRAUDULENT PRACTICES
View Entire Chapter
F.S. 817.416
817.416 Franchises and distributorships; misrepresentations.
(1) DEFINITIONS.For the purpose of this section:
(a) The term “person” means an individual, partnership, corporation, association, or other entity doing business in Florida.
(b) The term “franchise or distributorship” means a contract or agreement, either expressed or implied, whether oral or written, between two or more persons:
1. Wherein a commercial relationship of definite duration or continuing indefinite duration is involved;
2. Wherein one party, hereinafter called the “franchisee,” is granted the right to offer, sell, and distribute goods or services manufactured, processed, distributed or, in the case of services, organized and directed by another party;
3. Wherein the franchisee as an independent business constitutes a component of franchisor’s distribution system; and
4. Wherein the operation of the franchisee’s business franchise is substantially reliant on franchisors for the basic supply of goods.
(c) The term “goods” means any article or thing without limitation, or any part of such article or thing, including any article or thing used or consumed by a franchisee in rendering a service established, organized, directed, or approved by a franchisor.
(2) DECLARATIONS.
(a) It is unlawful, when selling or establishing a franchise or distributorship, for any person:
1. Intentionally to misrepresent the prospects or chances for success of a proposed or existing franchise or distributorship;
2. Intentionally to misrepresent, by failure to disclose or otherwise, the known required total investment for such franchise or distributorship; or
3. Intentionally to misrepresent or fail to disclose efforts to sell or establish more franchises or distributorships than is reasonable to expect the market or market area for the particular franchise or distributorship to sustain.
(b) The execution or carrying out of a scheme, plan, or corporate organization which violates any of the provisions of this section, if knowledge or intent be proved, shall be a misdemeanor of the second degree, punishable as provided in ss. 775.082 and 775.083.
(3) CIVIL PROVISIONS.Any person, who shows in a civil court of law a violation of this section may receive a judgment for all moneys invested in such franchise or distributorship. Upon such a showing, the court may award any person bringing said action reasonable attorney’s fees and shall award such person reasonable costs incurred in bringing the action, and execution shall thereupon issue.
(4) INJUNCTIONS.The Department of Legal Affairs, or the Department of Legal Affairs and the Department of Agriculture and Consumer Services jointly, may sue in behalf of the people of this state for injunctive relief against franchise or distributorship plans or activities in violation of paragraph (2)(a).
History.ss. 1, 2, 2A, 3, 4, ch. 71-61.

F.S. 817.416 on Google Scholar

F.S. 817.416 on Casetext

Amendments to 817.416


Arrestable Offenses / Crimes under Fla. Stat. 817.416
Level: Degree
Misdemeanor/Felony: First/Second/Third

S817.416 - FRAUD - INTENTIONALLY MISREPRESENT FRANCHISE PROSPECT - M: S



Annotations, Discussions, Cases:

Cases from cite.case.law:

CLUCK- U CHICKEN, INC. v. CLUCK- U CORP., 358 F. Supp. 3d 1295 (M.D. Fla. 2017)

. . . . § 817.416 (count two); violation of the Florida Sale of Business Opportunities Act, Fla. . . .

SIG, INC. d b a v. AT T DIGITAL LIFE, INC. f k a AT T, 971 F. Supp. 2d 1178 (S.D. Fla. 2013)

. . . More specifically, Count VI asserts that all Defendants violated Florida’s Franchise Act, Section 817.416 . . . Stat. § 817.416. D.E. 1, ¶¶ 156-163. . . . chances of success of a proposed or existing franchise or distributorship’ ” in violation of Section 817.416 . . .

PERDIDO KEY ISLAND RESORT DEVELOPMENT, L. L. P. a J. v. REGIONS BANK,, 102 So. 3d 1 (Fla. Dist. Ct. App. 2012)

. . . arbitration of claims for fraud in the inducement and violation of the Florida Franchise Fraud Act, section 817.416 . . .

HOCKEY ENTERPRISES, INC. v. TOTAL HOCKEY WORLDWIDE, LLC LLC d b a, 762 F. Supp. 2d 1138 (D. Minn. 2011)

. . . . § 817.416(2)(b), which reads: which violates any of the provisions of this section, if knowledge or . . . (Fla.Stat. § 817.416(2)(b).) However, that section is qualified by Fla. . . . . § 817.416(2)(a), which sets forth the activities prohibited under the FFA: (2) Declarations.— (a) It . . . (Fla.Stat. § 817.416(2)(a) (emphasis added).) . . .

HETRICK, v. IDEAL IMAGE DEVELOPMENT CORPORATION,, 758 F. Supp. 2d 1220 (M.D. Fla. 2010)

. . . ’ State Court Complaint sought damages pursuant to Florida’s Franchise Act, Florida Statute Section 817.416 . . .

HETRICK, v. IDEAL IMAGE DEVELOPMENT CORPORATION, a, 372 F. App'x 985 (11th Cir. 2010)

. . . . § 817.416(3). . . . Id. § 817.416(l)(a). . . . Stat. § 817.416(1)(a), (3)). . . . Stat. § 817.416(3), the FDUTPA contains no such limitation. . . .

COLD STONE CREAMERY, INC. v. LENORA FOODS I, LLC, a II, LLC, a III, LLC, a D., 332 F. App'x 565 (11th Cir. 2009)

. . . . § 817.416 (2) (a). . . .

COTTMAN TRANSMISSION SYSTEMS, LLC v. KERSHNER, 536 F. Supp. 2d 543 (E.D. Pa. 2008)

. . . . § 817.416. . . .

KC LEISURE, INC. v. HABER,, 972 So. 2d 1069 (Fla. Dist. Ct. App. 2008)

. . . Section 817.416(2), Florida Statutes (2005), reads in pertinent part as follows: (a) It is unlawful, . . . It appears to us that KC Leisure has sufficiently pled the requirements of section 817.416 to state a . . . Stat. (2005). . § 817.416, Fla. Stat. (2005). . . .

RANDALL, J. v. LADY OF AMERICA FRANCHISE CORPORATION,, 532 F. Supp. 2d 1071 (D. Minn. 2007)

. . . . § 817.416(2)(a)(l)-(2). . . . Id. § 817.416(3). . . . is sold in violation of § 817.416(2). . . . Ann. § 817.416(2) (emphasis added). . . . Misrepresentations about advertising plans would be relevant to a claim under § 817.416(2)(a)(l) only . . .

THORPE, v. GELBWAKS,, 953 So. 2d 606 (Fla. Dist. Ct. App. 2007)

. . . . § 817.416, Fla. Stat. . . . .

G. VIETS, v. AMERICAN RECRUITERS ENTERPRISES, INC., 922 So. 2d 1090 (Fla. Dist. Ct. App. 2006)

. . . 2002, plaintiff sued AREI for breach of contract, rescission, and statutory restitution under section 817.416 . . .

VOICESTREAM WIRELESS CORPORATION, a v. U. S. COMMUNICATIONS, INC. a a GSM a CDB a, 912 So. 2d 34 (Fla. Dist. Ct. App. 2005)

. . . complaint against VoiceStream includes a claim for violation of the Florida Franchise Act, section 817.416 . . . franchise or distribution” and the court may award such person reasonable attorney’s fees and costs. § 817.416 . . . Therefore, on remand, should the Dealers prove their entitlement to money damages provided for in section 817.416 . . .

M. FONT, v. STANLEY STEEMER INTERNATIONAL, INC., 849 So. 2d 1214 (Fla. Dist. Ct. App. 2003)

. . . See, e.g., § 817.416(l)(b), Fla. Stat. . . .

COUSINS RESTAURANT ASSOCIATES, a COUSINS MANAGEMENT CORP. v. TGI FRIDAY S, INC. a, 843 So. 2d 980 (Fla. Dist. Ct. App. 2003)

. . . breach of fiduciary duty, breach of covenant of good faith and fair dealing, a violation of section 817.416 . . .

GENERAL ELECTRIC COMPANY, v. LATIN AMERICAN IMPORTS, S. A. d b a LATAM,, 214 F. Supp. 2d 758 (W.D. Ky. 2002)

. . . . § 817.416(2)(a). . . .

CHECKERS DRIVE- IN RESTAURANTS, INC. G. F. v. TAMPA CHECKMATE FOOD SERVICES, INC. H., 805 So. 2d 941 (Fla. Dist. Ct. App. 2001)

. . . .§ 817.416, Fla. Stat. (1993). . . . See § 817.416(3). We disagree. . . . In this case, the “person who invested” in the Checkers franchise is Tampa Checkmate, see § 817.416(1 . . .

AMERISURE INSURANCE COMPANY, v. GOLD COAST MARINE DISTRIBUTORS, INC., 771 So. 2d 579 (Fla. Dist. Ct. App. 2000)

. . . violation (Count VI), a violation of Florida Restraint of Trade laws (Count VII), violation of section 817.416 . . .

GRAND KENSINGTON, LLC, a a A. v. BURGER KING CORPORATION, a, 81 F. Supp. 2d 834 (E.D. Mich. 2000)

. . . . § 817.416(2). . . . Fla.Stat. § 817.416(2). . . . Fla.Stat. § 817.416(l)(a). . . . Fla.Stat. § 817.416(3). . . . Fla.Stat. § 817.416(l)(a). . . .

DAVIS, v. McDONALD S CORPORATION, a s a v., 44 F. Supp. 2d 1251 (N.D. Fla. 1998)

. . . and misrepresentation; (4) negligent misrepresentation; (5) violation of the Florida Franchise Act, § 817.416 . . . Stat. § 817.416(2)(a). . . .

BARNES, v. BURGER KING CORPORATION, a, 932 F. Supp. 1441 (S.D. Fla. 1996)

. . . . § 817.416(3), provides, in pertinent part: “Any person, who shows in a civil court of law a violation . . . an individual, partnership, corporation, association, or other entity doing business in Florida.” § 817.416 . . . of the Act indicates that the Act only applies to “persons” that are “doing business in Florida.” § 817.416 . . .

BARNES, v. BURGER KING CORPORATION, a, 932 F. Supp. 1420 (S.D. Fla. 1996)

. . . . § 817.416(2)(a) “by purposefully misrepresenting material facts with the intent to induce BARNES to . . . Complaint at ¶48. § 817.416(2)(a)(3) provides: (a) It is unlawful, when selling or establishing a franchise . . . In its Motion for Summary Judgment, Burger King argues that Barnes’ claims under § 817.416 must fail . . . to expect the market or market area for the particular franchise or distributorship to sustain.” § 817.416 . . .

HALL, v. BURGER KING CORPORATION,, 912 F. Supp. 1509 (S.D. Fla. 1995)

. . . . § 817.416; Count VIII seeks rescission of their Franchise and Lease Agreements with BKC for Burger . . . Nor have Agad and Balagam-wala stated a cause of action under the Florida Franchise Act, Fla.Stat. § 817.416 . . . McDonalds Corp., supra, 757 F.Supp. at 1358 (section 817.416 did not apply because plaintiff purchased . . . In order to recover under section 817.416, a franchisee must demonstrate “proof of intentional words . . .

ALPHAGRAPHICS FRANCHISING, INC. a a G. v. G. STEBBINS, G. a J. O O, 617 So. 2d 463 (Fla. Dist. Ct. App. 1993)

. . . See § 817.416, Fla.Stat. (1991). . . . .

BURGER KING CORP. v. HOLDER, 844 F. Supp. 1528 (S.D. Fla. 1993)

. . . . § 817.416, must be dismissed because all of Holder’s franchises are located in Kansas. . . . The parties agree that there are no cases which address whether § 817.416 applies to the sale of franchises . . . Section 817.416(l)(a), however, defines person as an “individual, partnership, corporation, association . . . also rejects Burger King's argument that Holder has failed to allege the requisite elements of a § 817.416 . . .

BURGER KING CORPORATION, v. R. AUSTIN, W., 805 F. Supp. 1007 (S.D. Fla. 1992)

. . . . § 817.416) by intentionally misrepresenting material facts regarding Franchise # 6470 that were intended . . . BKC counters that Austins do not have standing under the Florida Franchise Act (§ 817.416(l)(a)) because . . . Id. at § 817.416(l)(b) (emphasis added). . . . Id. at § 817.416(3) (emphasis added). . . . claims that defendants "have failed to allege the requisite elements of a cause of action under [§] 817.416 . . .

SCHUBOT, v. McDONALDS CORPORATION,, 757 F. Supp. 1351 (S.D. Fla. 1990)

. . . In this instance, the Court is directed towards Florida Statute § 817.416, a criminal statute, which . . . Specifically, § 817.416(2)(a) states that: It is unlawful, when selling or establishing a franchise or . . . Fla.Stat.Ann. § 817.416(2)(a) (West 1988). . . .

BEAVER COACHES, INC. v. REVELS NATIONWIDE R. V. SALES, INC., 543 So. 2d 359 (Fla. Dist. Ct. App. 1989)

. . . complaint, Revels further argued that, because it alleged violation of a statutory duty, imposed by Section 817.416 . . . As noted above, Count II of the complaint alleged violations of Section 817.416, Florida Statutes, in . . . also denied as to this count on the ground that the violations alleged therein were based on Section 817.416 . . . agreement by misrepresentations regarding exclusivity of sales territory is not proscribed by Section 817.416 . . . We make the same finding with regard to Section 817.416(2)(a)3, Florida Statutes, governing Revels’ allegation . . .

DAY v. LE- JO ENTERPRISES, INC., 521 So. 2d 175 (Fla. Dist. Ct. App. 1988)

. . . Enterprises, and the trial court’s denial of their motion to amend their counterclaim pursuant to section 817.416 . . .

DOCTORS ASSOCIATES, INC. a v. C. McCRORY, 501 So. 2d 126 (Fla. Dist. Ct. App. 1987)

. . . purported misrepresentations regarding the prospects for success of a franchise, in violation of section 817.416 . . .

INTERSTATE PIPE MAINTENANCE, INC. v. FMC CORPORATION,, 775 F.2d 1495 (11th Cir. 1985)

. . . pending plaintiff filed the present case in state court seeking relief under Florida Statute section 817.416 . . .

PHYSICIANS WEIGHT LOSS CENTERS OF AMERICA, INC. v. G. PAYNE,, 461 So. 2d 977 (Fla. Dist. Ct. App. 1984)

. . . Count three sought damages pursuant to § 817.416(3), and count four sought rescission of the franchise . . .

BOCA MARA PROPERTIES, INC. T. O L. O F. v. INTERNATIONAL DAIRY QUEEN, INC., 732 F.2d 1550 (11th Cir. 1984)

. . . . § 817.416: first, plaintiffs’ store was not a “franchise” as defined by the Act; second, the Act only . . . Fla.Stat.Ann. § 817.416(l)(b)(4). . . . Section 817.416(2)(a) of the Act provides: (a) It is unlawful, when selling or establishing a franchise . . . A construction of § 817.416(2)(a)(l) which would exclude a franchiser on these facts would not be in . . . Fla.Stat.Ann. § 817.416(3). Fee awards are discretionary under the Act. . . .

GRIFFIN, d b a Co. v. SWIM- TECH CORPORATION, a, 722 F.2d 677 (11th Cir. 1984)

. . . . § 817.416 (1979) and Florida’s Unfair and Deceptive Trade Practices Act, Fla. . . .

MIAMI LINCOLN MERCURY, INC. v. W. KRAMER,, 399 So. 2d 1003 (Fla. Dist. Ct. App. 1981)

. . . Section 817.416, supra, prohibits misrepresentations in the sale of franchises and distributorships. . . . A violation of the section is a crime. § 817.416(2)(b). . . . to an interpretation of the provision in question is the language found in subsection (3) of Section 817.416 . . .

TRAVELODGE INTERNATIONAL, INC. a a d b a v. EASTERN INNS, INC. a, 382 So. 2d 789 (Fla. Dist. Ct. App. 1980)

. . . Travelodge relies for reversal primarily upon its contentions (1) that Section 817.416(2)(a)(l), Florida . . . The statute, Section.817.416(2)(a)(l), provides in part: (a) It is unlawful, when selling or establishing . . .

CHICKEN UNLIMITED, INC. v. A. BOCKOVER,, 374 So. 2d 96 (Fla. Dist. Ct. App. 1979)

. . . Statutes (1977), (2) intentional misrepresentations in the sale of a franchise as prohibited by Section 817.416 . . .

FLAVORS OF FLORIDA, INC. v. A. LARSEN A., 308 So. 2d 591 (Fla. Dist. Ct. App. 1975)

. . . Section 817.416, F.S.1971, provides in relevant part as follows: (2) Declarations.— (a) It is unlawful . . .