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Happy Hour Magazine
Happy Hour Magazine Happy Hour Magazine San Diego Disguised Franchise offered as a licensing opportunity San Diego, California
16th of May, 2011 by User270058
There has been misconceptions and lack of knowledge thereof to what a license is and what franchises are. A common mistake and malpractice use of offering licensing opportunities to people that want to branch out an existing business. Many business owners need to understand what the difference is between a license and a franchise. When you think of a license it is just that a license. A license to use software, drive a car, contracting yourself for personal services, or permission to use something in trades.
All it takes is three elements to call an agreement a franchise.
According to federal law:
1. The use of a common trade name or trademark;
2. The payment of a fee; and
3. The rendering of "substantial" assistance. Business owners don't realize how much trouble in the long run they can cause their company to get into when offering opportunities without clarity to prospects. The opportunity offered by Happy Hour Magazine is disguised as a franchise. A prospect originally from San Francisco had approached Happy Hour Magazine for the opportunity to open up for San Francisco. The prospect was still living in San Diego. After six months of purchasing the license the prospect was supposedly trained and ready before the launch to start out in January of 2011. After much confusion of business practices between the Publisher within a few months the prospect looked into further investigation of the agreement. The prospect informally brought to Happy Hour Magazine's awareness of illegal franchising. NO further action was taken by Happy Hour Magazine after offering a month to resolve the issue. The prospect searched out for a franchise expert and franchise lawyer. A letter of demand was given to the sole proprietor of Happy Hour Magazine. Which was another month to refund. The proprietor didn't respond til a few days before the demand date to confront a refund. The proprietor called to buy more time. The following week the prospects lawyer received a call from a lawyer representing Happy Hour Magazine from the San Francisco area requesting another week. The prospects lawyer phoned Happy Hour Magazine's lawyer in the San Francisco area and said they were not representing them. The prospect wanted to resolve the issue and yet more failed attempts to contact the proprietor was continuing. Sketchy deal and bad representation of the company.

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