MI HB5465

Makes void and unenforceable any franchise agreement provision prohibiting a franchisee from joining an association of franchisees.

Prohibits franchise agreements from requiring franchisees to waive rights and protections provided under Michigan's Franchise Investment Law, though franchisees may settle claims after entering an agreement.

Voids provisions allowing franchisor termination before contract expiration without good cause, and limits cure periods to a reasonable opportunity not exceeding 30 days after written notice of non-compliance.

Makes void provisions allowing franchisor refusal to renew without fair compensation by repurchase of inventory, equipment, and fixtures at fair market value (applies only to franchises under 5 years where franchisee cannot continue the same business under different branding).

Prohibits franchise agreements from requiring arbitration or litigation outside Michigan, restricting franchisor ability to refuse franchise transfers without good cause, and preventing restrictions on franchisee sourcing of equipment or supplies that meet franchisor quality standards.