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February 11, 2025

IFA Heads to Vegas in Two Weeks

Go Deeper: Among the other networking and intel-gathering sessions throughout the IFA Convention, you’re invited on Wednesday, February 25, to join IFA Chair and BNI CEO Mary Kennedy Thompson and the IFA government relations team for an exclusive executive briefing focused on the political environment and public policy landscape shaping franchising in 2026.

Why It Matters: The session will provide an update on the American Franchise Act, landmark bipartisan legislation pending in Congress, and what you and your networks can do to get it enacted in 2026.

Nebraska Hears Franchise Bill

What’s Happening: Nebraska’s Business & Labor Committee held a hearing this week on LB 941, introduced by Sen. Loren Lippincott, to clarify joint-employer standards in franchising. IFA's Senior Director of State & Local Government Relations Matthew Kagel testified in support of the bill and was joined by strong local advocates, including franchisees from City Wide Facility Solutions and Hobbytown, as well as the Nebraska Retail Federation. You can view the hearing here. 

Why It Matters: LB 941 would provide important legal clarity by reaffirming that franchisees are independent employers, and that franchisors are considered employers only when they exercise direct and immediate control over essential employment decisions. 

What’s Next: The committee has not yet taken action on the bill. IFA will continue working with lawmakers and grassroots franchise advocates across Nebraska to support and advance LB 941.

Virginia Weighs Scheduling Proposal

What’s Happening: Last month, Virginia Delegate Leslie Mehta introduced a broad labor proposal, HB 962, that includes predictive scheduling language with implications for franchising.

Why It Matters: The bill would allow regulators to treat separate entities as a single employer under an “integrated enterprise” standard and applies to employers with 500+ employees worldwide — potentially sweeping in franchise systems across brands.

What’s Next: The bill is scheduled for a hearing before the House Labor & Commerce Subcommittee #2 on Feb. 12. IFA has reached out directly to the bill sponsor and committee members, outlining our concerns, and will continue fighting the measure alongside the business community.

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Alabama Considers Bill Affecting Franchise Agreements

What’s Happening: Alabama lawmakers are considering legislation that would prohibit franchisors from requiring franchisees to operate on a religious day when doing so conflicts with the franchisee’s sincerely held religious beliefs. 

Why It Matters: The bill, SB 131, sponsored by Sen. Dan Roberts, mirrors Utah’s HB 441, enacted in 2025 after incorporating IFA-supported language to make the measure workable for both the brand and franchisees. Because the Alabama bill reflects those revisions, IFA has remained neutral.

What’s Next: The bill has cleared the Senate Fiscal Responsibility and Economic Development Committee and is headed to the Senate floor. Members with concerns should contact IFA’s State & Local Government Relations Director Matthew Kagel at MKagel@Franchise.org.