Indiana § 23-2-2.5-12 Escrow or impoundment of franchise fees; inadequate funding

Indiana Statutes

§ 23-2-2.5-12 — Escrow or impoundment of franchise fees; inadequate funding

Indiana § 23-2-2.5-12

Title 23BUSINESS AND OTHER ASSOCIATIONS

Art. 2SECURITIES AND FRANCHISES

Ch. 2.5Franchises

This text of Indiana § 23-2-2.5-12 (Escrow or impoundment of franchise fees; inadequate funding) is published on Counsel Stack Legal Research, covering Indiana primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook

Ind. Code § 23-2-2.5-12 (2026).

Text

If the commissioner finds that:

(1)the franchisor has failed to demonstrate that adequate financial arrangements have been made to fulfill obligations to provide real estate, improvements, equipment, inventory, training, or other items included in the offering; and

(2)the escrow or impoundment of franchise fees is necessary and appropriate to protect prospective franchisees; the commissioner may by order require the escrow or impoundment of franchise fees and other funds paid by the franchisee until no later than the time of opening of the business of the franchisee. Formerly: Acts 1975, P.L.262, SEC.1. As amended by P.L.168-2001, SEC.4.

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If the commissioner finds that:
(1) the franchisor has failed to demonstrate that adequate
financial arrangements have been made to fulfill obligations to
provide real estate, improvements, equipment, inventory, training,
or other items included in the offering; and
(2) the escrow or impoundment of franchise fees is necessary and
appropriate to protect prospective franchisees;
the commissioner may by order require the escrow or impoundment of
franchise fees and other funds paid by the franchisee until no later than
the time of opening of the business of the franchisee.
Formerly: Acts 1975, P.L.262, SEC.1. As amended by
P.L.168-2001, SEC.4.