Which of the following is true of the liabilities of a franchisor and a franchisee?

Question

Quizplus · Accepted Answer

Franchisees are only liable for their own contracts, while franchisors are not liable for the torts committed by the franchisee. However, depending on the specific terms of the franchise agreement, franchisors may be held liable for issues arising from their own actions or negligence in relation to the franchise. Choice B is incorrect as franchisors are generally not held responsible for the torts committed by the franchisee. Choice D is incorrect because franchisors are not always liable for the actions of the franchisee.

Which of the Following Is True of the Liabilities of a Franchisor