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FTC RIN: 3084-AB04 Publication ID: Spring 2008 
Title: Business Opportunity Rule 
Abstract: From the review of the current Franchise Rule (RIN 3084-AA63), staff recommended that the rule be split into two parts: One part addressing franchise issues and the second addressing business opportunity issues. On April 6, 2006, the Commission announced publication of a Notice of Proposed Rulemaking seeking comment on this proposed Business Opportunity Rule. The proposed rule addresses fraud in the offer and sale of business opportunity ventures by requiring business opportunity sellers to furnish specific pre-sale disclosures to prospective purchasers, as well as prohibiting specific conduct that the rulemaking record and the Commission's law enforcement experience show are prevalent problems. The extended comment period closed on July 17, 2006. A subsequent extended rebuttal comment period closed on September 29, 2006. After reviewing the comments, the Commission published a revised NPRM on March 26, 2008, that would require business opportunity sellers to furnish prospective purchasers with specific information that is material to the consumer's decision as to whether to purchase a business opportunity and which should help the purchaser identify fraudulent offerings. The revised NPRM also would prohibit other acts or practices that are unfair or deceptive within the meaning of section 5 of the Federal Trade Commission Act (the FTC Act). Written comments must be received on or before May 27, 2008. Rebuttal comments must be received on or before June 16, 2008. Staff anticipates further Commission action by March 2009. 
Agency: Federal Trade Commission(FTC)  Priority: Substantive, Nonsignificant 
RIN Status: Previously published in the Unified Agenda Agenda Stage of Rulemaking: Proposed Rule Stage 
Major: No  Unfunded Mandates: No 
CFR Citation: To be codified at 16 CFR 437     (To search for a specific CFR, visit the Code of Federal Regulations.)
Legal Authority: 15 USC 41 to 58   
Legal Deadline:  None
Timetable:
Action Date FR Cite
NPRM  04/12/2006  71 FR 19054   
NPRM Comment Period End  06/16/2006    
Rebuttal Comment Period End  07/07/2006    
NPRM Comment Period Extended  06/01/2006  71 FR 31124   
Extended Comment Period End  07/17/2006    
NPRM Comment Period Extended  08/15/2006  71 FR 46878   
Extended Rebuttal Comment Period End  09/29/2006    
Revised NPRM  03/26/2008  73 FR 16110   
Revised NPRM Comment Period End  05/27/2008    
Rebuttal Comment Period End  06/16/2008    
Commission Action  03/00/2009    
Regulatory Flexibility Analysis Required: No  Government Levels Affected: State 
Small Entities Affected: Businesses  Federalism: No 
Included in the Regulatory Plan: No 
RIN Data Printed in the FR: No 
Related RINs: Split from 3084-AA63 
Agency Contact:
Monica E. Vaca
Attorney
Federal Trade Commission
Bureau of Consumer Protection, 600 Pennsylvania Avenue NW,
Washington, DC 20580
Phone:202 326-2245
Email: mvaca@ftc.gov