H.R.5267

American Franchise Act

Introduced·9/10/25

American Franchise Act aims to clarify joint employment criteria for franchisors and franchisees under labor laws.

The American Franchise Act seeks to preserve the franchise business model by clarifying the criteria for joint employment between franchisors and franchisees under labor laws. It defines direct and immediate control over essential employment terms such as wages, benefits, hours, hiring, discharge, discipline, supervision, and direction. The Act specifies that franchisors may only be considered joint employers if they exercise substantial direct and immediate control over these terms.

Included in complete analysis

  • Overview
  • Core Provisions
  • Implementation
  • Impact
  • Legal Framework
  • Critical Issues

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Where it stands

Current
In committee
Next
Committee decision

Sponsors

Calendar

Jul 21

10:15 AM

House Committee on Education and Workforce Hearing

History

Jul 21

House

Committee Consideration and Mark-up Session Held

Jul 21

House

Ordered to be Reported (Amended) by the Yeas and Nays: 18 - 15.

Sep 10, 2025

House

Introduced in House