CA SB610

Voids any franchise agreement clause requiring franchisees to waive the implied covenant of good faith and fair dealing.

Prohibits franchise agreements from restricting franchisees' rights to join associations of franchisees or from preventing sales/transfers of franchises to qualified buyers, though franchisor consent cannot be unreasonably withheld.

Requires transferring franchisees to provide written notice to the franchisor with proposed buyer information and application materials, and requires franchisor approval/disapproval decision within 60 days.

Changes franchise termination standard to require "substantial and material breach" of a lawful franchise agreement requirement by the franchisee, with 30-day cure period before termination.

Requires franchisors that illegally terminate or prevent franchise sales to either reinstate the franchisee and pay damages, or pay the fair market value of the franchise and its assets at the franchisee's election.