Saturday, July 28, 2012

Guy Fawkes

http://en.wikipedia.org/wiki/Guy_Fawkes
From Wikipedia, the free encyclopedia Jump to: navigation, search This article is about the historical figure. For other uses, see Guy Fawkes (disambiguation). Page move-protected Gunpowder Plot Guy Fawkes Black-and-white drawing George Cruikshank's illustration of Guy Fawkes, published in William Harrison Ainsworth's 1840 novel Details Parents Edward Fawkes, Edith (née Blake or Jackson) Born 13 April 1570 (presumed) York, England Alias(es) Guido Fawkes, John Johnson Occupation Soldier; Alférez Plot Role Explosives Enlisted 20 May 1604 Captured 5 November 1605 Conviction(s) High treason Penalty Hanged, drawn and quartered Died 31 January 1606 (aged 35) Westminster, London, England Cause Hanged Guy Fawkes (13 April 1570 – 31 January 1606), also known as Guido Fawkes, the name he adopted while fighting for the Spanish in the Low Countries, was a member of a group of provincial English Catholics who planned the failed Gunpowder Plot of 1605. Fawkes was born and educated in York. His father died when Fawkes was eight years old, after which his mother married a recusant Catholic. Fawkes later converted to Catholicism and left for the continent, where he fought in the Eighty Years' War on the side of Catholic Spain against Protestant Dutch reformers. He travelled to Spain to seek support for a Catholic rebellion in England but was unsuccessful. He later met Thomas Wintour, with whom he returned to England. Wintour introduced Fawkes to Robert Catesby, who planned to assassinate King James I and restore a Catholic monarch to the throne. The plotters secured the lease to an undercroft beneath the House of Lords, and Fawkes was placed in charge of the gunpowder they stockpiled there. Prompted by the receipt of an anonymous letter, the authorities searched Westminster Palace during the early hours of 5 November, and found Fawkes guarding the explosives. Over the next few days, he was questioned and tortured, and eventually he broke. Immediately before his execution on 31 January, Fawkes jumped from the scaffold where he was to be hanged and broke his neck, thus avoiding the agony of the mutilation that followed. Fawkes became synonymous with the Gunpowder Plot, the failure of which has been commemorated in England since 5 November 1605. His effigy is traditionally burned on a bonfire, commonly accompanied by a firework display. Contents 1 Early life 1.1 Childhood 1.2 Military career 2 Gunpowder Plot 2.1 Overseas 2.2 Discovery 2.3 Torture 2.4 Trial and execution 3 Legacy 4 References 5 External links Early life Childhood Photo Fawkes was baptised at the church of St. Michael le Belfrey Guy Fawkes was born in 1570 in Stonegate, York. He was the second of four children born to Edward Fawkes, a proctor and an advocate of the consistory court at York,[nb 1] and his wife, Edith.[nb 2] Guy's parents were regular communicants of the Church of England, as were his paternal grandparents; his grandmother, born Ellen Harrington, was the daughter of a prominent merchant, who served as Lord Mayor of York in 1536.[4] However, Guy's mother's family were recusant Catholics, and his cousin, Richard Cowling, became a Jesuit priest.[5] Guy was an uncommon name in England, but may have been popular in York on account of a local notable, Sir Guy Fairfax of Steeton.[6] The date of Fawkes' birth is unknown, but he was baptised in the church of St. Michael le Belfrey on 16 April. As the customary gap between birth and baptism was three days, he was probably born about 13 April.[5] In 1568, Edith had given birth to a daughter named Anne, but the child died aged about seven weeks, in November that year. She bore two more children after Guy: Anne (b. 1572), and Elizabeth (b. 1575). Both were married, in 1599 and 1594 respectively.[6][7] In 1579, when Guy was eight years old, his father died. His mother remarried several years later, to the Catholic Dionis Baynbrigge (or Denis Bainbridge) of Scotton, Harrogate. Fawkes may have become a Catholic through the Baynbrigge family's recusant tendencies, and also the Catholic branches of the Pulleyn and Percy families of Scotton,[8] but also from his time at St. Peter's School in York. A governor of the school had spent about 20 years in prison for recusancy, and its headmaster, John Pulleyn, came from a family of noted Yorkshire recusants, the Pulleyns of Blubberhouses. In her 1915 work The Pulleynes of Yorkshire, author Catharine Pullein suggested that Fawkes's Catholic education came from his Harrington relatives, who were known for harbouring priests, one of whom later accompanied Fawkes to Flanders in 1592–1593.[9] Fawkes's fellow students included John Wright and his brother Christopher (both later involved with Fawkes in the Gunpowder plot) and Oswald Tesimond, Edward Oldcorne and Robert Middleton, who became priests (the latter executed in 1601).[10] After leaving school Fawkes entered the service of Anthony Browne, 1st Viscount Montagu. The Viscount took a dislike to Fawkes and after a short time dismissed him; he was subsequently employed by Anthony-Maria Browne, 2nd Viscount Montagu, who succeeded his grandfather at the age of 18.[11] At least one source claims that Fawkes married and had a son, but no known contemporary accounts confirm this.[12][nb 3] Military career In October 1591 Fawkes sold the estate in Clifton that he had inherited from his father.[nb 4] He travelled to the continent to fight in the Eighty Years War for Catholic Spain against the new Dutch Republic and, from 1595 until the Peace of Vervins in 1598, France. Although England was not by then engaged in land operations against Spain, the two countries were still at war, and the Spanish Armada of 1588 was only five years in the past. He joined Sir William Stanley, an English Catholic and veteran commander in his mid-fifties who had raised an army in Ireland to fight in Leicester's expedition to the Netherlands. Stanley had been held in high regard by Elizabeth I, but following his surrender of Deventer to the Spanish in 1587 he, and most of his troops, had switched sides to serve Spain. Fawkes became an alférez or junior officer, fought well at the siege of Calais in 1596, and by 1603 had been recommended for a captaincy.[3] That year, he travelled to Spain to seek support for a Catholic rebellion in England. He used the occasion to adopt the Italian version of his name, Guido, and in his memorandum described James I as "a heretic", who intended "to have all of the Papist sect driven out of England." He denounced Scotland, and the King's favourites among the Scottish nobles, writing "it will not be possible to reconcile these two nations, as they are, for very long".[13] Although he was received politely, the court of Philip III was unwilling to offer him any support.[14] Gunpowder Plot Main article: Gunpowder Plot A monochrome engraving of eight men, in 17th-century dress. All have beards, and appear to be engaged in discussion A contemporary engraving of eight of the thirteen conspirators, by Crispijn van de Passe. Fawkes is third from the right. In 1604 Fawkes became involved with a small group of English Catholics, led by Robert Catesby, who planned to assassinate the Protestant King James and replace him with his daughter, third in the line of succession, Princess Elizabeth.[15][16] Fawkes was described by the Jesuit priest and former school friend Oswald Tesimond as "pleasant of approach and cheerful of manner, opposed to quarrels and strife ... loyal to his friends". Tesimond also claimed Fawkes was "a man highly skilled in matters of war", and that it was this mixture of piety and professionalism which endeared him to his fellow conspirators.[3] The author Antonia Fraser describes Fawkes as "a tall, powerfully built man, with thick reddish-brown hair, a flowing moustache in the tradition of the time, and a bushy reddish-brown beard", and that he was "a man of action ... capable of intelligent argument as well as physical endurance, somewhat to the surprise of his enemies."[5] The first meeting of the five central conspirators took place on Sunday 20 May 1604, at an inn called the Duck and Drake, in the fashionable Strand district of London.[nb 5] Catesby had already proposed at an earlier meeting with Thomas Wintour and John Wright to kill the King and his government by blowing up "the Parliament House with gunpowder". Wintour, who at first objected to the plan, was convinced by Catesby to travel to the continent to seek help. Wintour met with the Constable of Castile, the exiled Welsh spy Hugh Owen,[18] and Sir William Stanley, who said that Catesby would receive no support from Spain. Owen did, however, introduce Wintour to Fawkes, who had by then been away from England for many years, and thus was largely unknown in the country. Wintour and Fawkes were contemporaries; each was militant, and had first-hand experience of the unwillingness of the Spaniards to help. Wintour told Fawkes of their plan to "doe some whatt in Ingland if the pece with Spaine healped us nott",[3] and thus in April 1604 the two men returned to England.[17] Wintour's news did not surprise Catesby; despite positive noises from the Spanish authorities, he feared that "the deeds would nott answere".[nb 6] One of the conspirators, Thomas Percy was promoted in June 1604, gaining access to a house in London which belonged to John Whynniard, Keeper of the King's Wardrobe. Fawkes was installed as a caretaker and began using the pseudonym John Johnson, servant to Percy.[20] The contemporaneous account of the prosecution (taken from Thomas Wintour's confession)[21] claimed that the conspirators attempted to dig a tunnel from beneath Whynniard's house to Parliament, although this story may have been a government fabrication; no evidence for the existence of a tunnel was presented by the prosecution, and no trace of one has ever been found; Fawkes himself did not admit the existence of such a scheme until his fifth interrogation, but even then he could not locate the tunnel.[22] If the story is true, however, by December 1604 the conspirators were busy tunnelling from their rented house to the House of Lords. They ceased their efforts when, during tunnelling, they heard a noise from above. Fawkes was sent out to investigate, and returned with the news that the tenant's widow was clearing out a nearby undercroft, directly beneath the House of Lords.[3][23] The plotters purchased the lease to the room, which also belonged to John Whynniard. Unused and filthy, it was considered an ideal hiding place for the gunpowder the plotters planned to store.[24] According to Fawkes, 20 barrels of gunpowder were brought in at first, followed by 16 more on 20 July.[25] On 28 July however, the ever-present threat of the plague delayed the opening of Parliament until Tuesday, 5 November.[26] Overseas In an attempt to gain foreign support, in May 1605 Fawkes travelled overseas and informed Hugh Owen of the plotters' plan.[27] At some point during this trip his name made its way into the files of Robert Cecil, 1st Earl of Salisbury, who employed a network of spies across Europe. One of these spies, Captain William Turner, may have been responsible. Although the information he provided to Salisbury usually amounted to no more than a vague pattern of invasion reports, and included nothing which regarded the Gunpowder Plot, on 21 April he told how Fawkes was to be brought by Tesimond to England. Fawkes was a well known Flemish mercenary, and would be introduced to "Mr Catesby" and "honourable friends of the nobility and others who would have arms and horses in readiness".[28] Turner's report did not, however, mention Fawkes's pseudonym in England, John Johnson, and did not reach Cecil until late in November, well after the plot had been discovered.[3][29] It is uncertain when Fawkes returned to England, but he was back in London by late August 1605, when he and Wintour discovered that the gunpowder stored in the undercroft had decayed. More gunpowder was brought into the room, along with firewood to conceal it.[30] Fawkes's final role in the plot was settled during a series of meetings in October. He was to light the fuse and then escape across the Thames. Simultaneously, a revolt in the Midlands would help to ensure the capture of Princess Elizabeth. Acts of regicide were frowned upon, and Fawkes would therefore head to the continent, where he would explain to the Catholic powers his holy duty to kill the King and his retinue.[31] Discovery In a stone-walled room, several armed men physically restrain another man, who is drawing his sword. Discovery of the Gunpowder Plot (c. 1823), Henry Perronet Briggs A few of the conspirators were concerned about fellow Catholics who would be present at Parliament during the opening.[32] On the evening of 26 October, Lord Monteagle received an anonymous letter warning him to stay away, and to "retyre youre self into yowre contee whence yow maye expect the event in safti for ... they shall receyve a terrible blowe this parleament".[33] Despite quickly becoming aware of the letter – informed by one of Monteagle's servants – the conspirators resolved to continue with their plans, as it appeared that it "was clearly thought to be a hoax".[34] Fawkes checked the undercroft on 30 October, and reported that nothing had been disturbed.[35] Monteagle's suspicions had been aroused however, and the letter was shown to King James. The King ordered Sir Thomas Knyvet to conduct a search of the cellars underneath Parliament, which he did in the early hours of 5 November. Fawkes had taken up his station late on the previous night, armed with a slow match and a watch given to him by Percy "becaus he should knowe howe the time went away".[3] He was found leaving the cellar, shortly after midnight, and arrested. Inside, the barrels of gunpowder were discovered hidden under piles of firewood and coal.[36] Torture Fawkes gave his name as John Johnson and was first interrogated by members of the King's Privy Chamber, where he remained defiant. When asked by one of the lords what he was doing in possession of so much gunpowder, Fawkes answered that his intention was "to blow you Scotch beggars back to your native mountains."[37] He identified himself as a 36-year-old Catholic from Netherdale in Yorkshire, and gave his father's name as Thomas and his mother's as Edith Jackson. Wounds on his body noted by his questioners he explained as the effects of pleurisy. Fawkes admitted his intention to blow up the House of Lords, and expressed regret at his failure to do so. His steadfast manner earned him the admiration of King James, who described Fawkes as possessing "a Roman resolution".[38] James's admiration did not, however, prevent him from ordering on 6 November that "John Johnson" be tortured, to reveal the names of his co-conspirators.[39] He directed that the torture be light at first, referring to the use of manacles, but more severe if necessary, authorising the use of the rack: "the gentler Tortures are to be first used unto him et sic per gradus ad ima tenditur [and so by degrees proceeding to the worst]".[37][40] Fawkes was transferred to the Tower of London. The King composed a list of questions to be put to "Johnson", such as "as to what he is, For I can never yet hear of any man that knows him", "When and where he learned to speak French?", and "If he was a Papist, who brought him up in it?"[41] The room in which Fawkes was interrogated subsequently became known as the Guy Fawkes Room.[42] Two signatures Fawkes's signature of "Guido", made soon after his torture, is a barely evident scrawl compared to a later instance. Sir William Waad, Lieutenant of the Tower, supervised the torture and obtained Fawkes's confession.[37] He searched his prisoner, and found a letter, addressed to Guy Fawkes. To Waad's surprise, "Johnson" remained silent, revealing nothing about the plot or its authors.[43] On the night of 6 November he spoke with Waad, who reported to Salisbury "He [Johnson] told us that since he undertook this action he did every day pray to God he might perform that which might be for the advancement of the Catholic Faith and saving his own soul". According to Waad, Fawkes managed to rest through the night, despite his being warned that he would be interrogated until "I had gotton the inwards secret of his thoughts and all his complices".[44] His composure was broken at some point during the following day.[45] The observer Sir Edward Hoby remarked "Since Johnson's being in the Tower, he beginneth to speak English". Fawkes revealed his true identity on 7 November, and told his interrogators that there were five people involved in the plot to kill the King. He began to reveal their names on 8 November, and told how they intended to place Princess Elizabeth on the throne. His third confession, on 9 November, implicated Francis Tresham. Following the Ridolfi plot of 1571 prisoners were made to dictate their confessions, before copying and signing them, if they still could.[46] Although it is uncertain if he was subjected to the horrors of the rack, Fawkes's signature, little more than a scrawl, bears testament to the suffering he endured at the hands of his interrogators.[47] Trial and execution The trial of eight of the plotters began on Monday 27 January 1606. Fawkes shared the barge from the Tower to Westminster Hall with seven of his co-conspirators.[nb 7] They were kept in the Star Chamber before being taken to Westminster Hall, where they were displayed on a purpose-built scaffold. The King and his close family, watching in secret, were among the spectators as the Lords Commissioners read out the list of charges. Fawkes was identified as Guido Fawkes, "otherwise called Guido Johnson". He pleaded not guilty, despite his apparent acceptance of guilt from the moment he was captured.[49] Etching A 1606 etching by Claes (Nicolaes) Jansz Visscher, depicting Fawkes's execution The outcome was never in doubt. The jury found all of the defendants guilty, and the Lord Chief Justice Sir John Popham proclaimed them guilty of high treason.[50] The Attorney General Sir Edward Coke told the court that each of the condemned would be drawn backwards to his death, by a horse, his head near the ground. They were to be "put to death halfway between heaven and earth as unworthy of both". Their genitals would be cut off and burnt before their eyes, and their bowels and hearts removed. They would then be decapitated, and the dismembered parts of their bodies displayed so that they might become "prey for the fowls of the air".[51] Fawkes's and Tresham's testimony regarding the Spanish treason was read aloud, as well as confessions related specifically to the Gunpowder Plot. The last piece of evidence offered was a conversation between Fawkes and Wintour, who had been kept in adjacent cells. The two men apparently thought they had been speaking in private, but their conversation was intercepted by a government spy. When the prisoners were allowed to speak, Fawkes explained his not guilty plea as ignorance of certain aspects of the indictment.[52] On 31 January 1606, Fawkes and three others – Thomas Wintour, Ambrose Rookwood, and Robert Keyes – were dragged (i.e. drawn) from the Tower on wattled hurdles to the Old Palace Yard at Westminster, opposite the building they had attempted to destroy.[53] His fellow plotters were then hanged and quartered. Fawkes was the last to stand on the scaffold. He asked for forgiveness of the King and state, while keeping up his "crosses and idle ceremonies", and aided by the hangman began to climb the ladder to the noose. Although weakened by torture, Fawkes managed to jump from the gallows, breaking his neck in the fall and thus avoiding the agony of the latter part of his execution.[37][54] His lifeless body was nevertheless quartered,[55] and as was the custom,[56] his body parts were then distributed to "the four corners of the kingdom", to be displayed as a warning to other would-be traitors.[57] Legacy See also: Gunpowder Plot in popular culture and Guy Fawkes mask Sketch of a group of children escorting an effigy Procession of a Guy (1864) On 5 November 1605 Londoners were encouraged to celebrate the King's escape from assassination by lighting bonfires, "always provided that 'this testemonye of joy be carefull done without any danger or disorder'".[3] An Act of Parliament[nb 8] designated each 5 November as a day of thanksgiving for "the joyful day of deliverance", and remained in force until 1859.[58] Although he was only one of 13 conspirators, Fawkes is today the individual most associated with the failed Plot.[59] In Britain, 5 November has variously been called Guy Fawkes Night, Guy Fawkes Day, Plot Night[60] and Bonfire Night; the latter can be traced directly back to the original celebration of 5 November 1605.[61] Bonfires were accompanied by fireworks from the 1650s onwards, and it became the custom to burn an effigy (usually the pope) after 1673, when the heir presumptive, James, Duke of York made his conversion to Catholicism public.[3] Effigies of other notable figures who have become targets for the public's ire, such as Paul Kruger and Margaret Thatcher, have also found their way onto the bonfires,[62] although most modern effigies are of Fawkes.[58] The "guy" is normally created by children, from old clothes, newspapers, and a mask.[58] During the 19th century, "guy" came to mean an oddly dressed person, but in American English it lost any pejorative connotation, and was used to refer to any male person.[58][63] William Harrison Ainsworth's 1841 historical romance Guy Fawkes; or, The Gunpowder Treason, portrays Fawkes in a generally sympathetic light,[64] and transformed him in the public perception into an "acceptable fictional character". Fawkes subsequently appeared as "essentially an action hero" in children's books and penny dreadfuls such as The Boyhood Days of Guy Fawkes; or, The Conspirators of Old London, published in about 1905.[65] Fawkes is sometimes referred to as "the only man ever to enter Parliament with honest intentions".[66]

Gunman turns 'Batman' screening into real-life 'horror film'

By Michael Pearson, CNN July 21, 2012 -- Updated 0159 GMT (0959 HKT) James Holmes, 24, was identified by two federal law enforcement officers as the man who opened fire during a screening of "The Dark Knight Rises" at an Aurora, Colorado, theater early Friday. At least 12 people were killed, Police Chief Dan Oates said. James Holmes, 24, was identified by two federal law enforcement officers as the man who opened fire during a screening of "The Dark Knight Rises" at an Aurora, Colorado, theater early Friday. At least 12 people were killed, Police Chief Dan Oates said. HIDE CAPTION Colorado movie theater shooting << < 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 > >> STORY HIGHLIGHTS NEW: 30 people remain hospitalized; 11 in critical condition NEW: Authorities postpone action on the suspect's booby-trapped apartment until Saturday Source: The gunman told police he was "the Joker" Police say 12 people were killed and 58 injured in movie theater shooting (CNN) -- The suspect in the mass shooting at an Aurora, Colorado, movie theater screening of the new Batman film early Friday had colored his hair red and told police he was "the Joker," according to a federal law enforcement source with detailed knowledge of the investigation. At least 12 people were killed in the rampage and 58 were injured, one fewer than earlier reported. Of those injured "nearly everyone was shot," Aurora Police Chief Dan Oates said Friday night, adding that a handful of people were hurt in the resulting chaos. Ten of the victims were killed inside the theater while two others died at hospitals. As of Friday evening, the 10 bodies had been removed from the complex and authorities were preparing to begin "the agonizing process" of notifying families, Oates said. A mug shot of suspect James E. Holmes has not been released. Witnesses to the shooting described him as wearing a gas mask that concealed much of his face and head. But the federal law enforcement source's information about the suspect's appearance fits with a statement from New York Police Commissioner Ray Kelly, who was briefed by Colorado authorities Friday. Oates declined to comment on Holmes' appearance other than to describe what he was wearing, and said he would not release his booking photo "for investigative reasons." The Joker has long been a fixture in Batman comics and was famously brought to life by the late Heath Ledger in 2008's "The Dark Knight," the predecessor to Friday's release of "The Dark Knight Rises." Ledger won a posthumous Academy Award for his sinister portrayal of the iconic villain who encourages anarchists to take over Gotham City. Meanwhile, authorities were faced with the difficult task of entering Holmes' Aurora apartment, which was left rigged with traps. "It's booby-trapped with various incendiary and chemical devices and trip wires," Oates said, adding that it could take days to work through the apartment safely. Five buildings around the apartment building were evacuated, Oates said. Residents were allowed back home briefly Friday night to retrieve such emergency items as medicine. Authorities have postponed until Saturday any attempts to enter the apartment and are bringing in resources from the federal government to help with the situation, Oates said. Shootings cast pall over 'Dark Knight Rises' blockbuster weekend Police say Holmes, 24, dressed head-to-toe in protective tactical gear, set off two devices of some kind before spraying the Century 16 theater with bullets from an AR-15 rifle, a 12-gauge shotgun and at least one of two .40-caliber handguns police recovered at the scene. Oates said the guns were purchased legally by Holmes at stores in the Denver area in the past two months. More than 6,000 rounds of ammunition were also purchased online, according to Oates. A receipt obtained by CNN shows Holmes bought some of the tactical gear, including a vest and magazine pouch, online on July 2. Oates said investigators are "confident" that Holmes acted alone. The shooting unfolded inside a darkened theater packed with Batman fans, some in costume for the premiere of the movie. Aurora police said how the suspect entered the theater is still under investigation. A law enforcement source working the investigation told CNN that the gunman walked into the movie theater after purchasing a ticket. After the movie was under way, he went out a rear exit door, propping it open, and gathered weapons before re-entering through the door, the source said. As he re-entered, he tossed in a canister before starting to shoot, according to a second law enforcement source involved in the investigation and several witnesses. Screaming, panicked moviegoers scrambled to escape from the black-clad gunman, who shot at random as he walked up the theater's steps, witnesses said. It was a scene "straight out of a horror film," said Chris Ramos, who was inside the theater. Video: Chaos at theater shooting scene Witness: Little girl wasn't moving Witness: He pointed gun at my face Listen to theater shooting 911 calls "He was just literally shooting everyone, like hunting season," Ramos said. In Aurora, the agonized seek answers through faith A federal law enforcement official told CNN the man used tear gas, but Oates said Friday afternoon that it was not clear what the substance was. Holmes surrendered without resistance within seven minutes of the first calls from panicked moviegoers reporting the shooting, Oates said. Victims flooded overwhelmed hospitals. One of the injured is just 4 months old, the child's mother said. The infant was treated and released from the hospital. "I don't know how else to explain it. It's horrific," said Tracy Lauzon, director of EMS and trauma services at Aurora Medical Center. Theater shooting unfolds in real time on social media Oates said the man was wearing a ballistic helmet and protective gear for his legs, throat and groin, black gloves and a gas mask. Jennifer Seeger, who survived the attack, said she had seen the man and thought his get-up was part of the entertainment for the film's debut. She said the man first shot toward the ceiling, then began shooting at people. He reloaded during his attack, she said. "He was just literally just massacring anybody that got up that was trying to run away," Seeger said. As of Friday afternoon, 30 people remained hospitalized, 11 of them in critical condition, according to Colorado Gov. John Hickenlooper. Holmes is scheduled to appear in an Arapahoe County, Colorado, courtroom Monday morning, Rob McCallum, spokesman for the Colorado Judicial Department, said Friday. The court file was sealed, according to a court order. He is being held in the Arapahoe County jail, Oates said. A statement from Holmes' family in San Diego asked for "privacy during this difficult time." "Our hearts go out to those who were involved in this tragedy and to the families and friends of those involved," the statement said, adding, "We are still trying to process this information." Shooting turns movie into surreal horror: 'This is real' The FBI is assisting in the investigation, officials said, though it did not appear that the incident was related to terrorism. Prior to Friday's shooting, Holmes' criminal record in Aurora consisted only of a traffic summons. Aspiring sports reporter feared dead in shooting President Barack Obama canceled campaign events Friday, telling supporters at what had been scheduled as a rally in Fort Myers, Florida, that "there will be other days for politics." "This will be a day for prayer and reflection," he said, calling for the country to unite as one and support the victims. Flags at the White House were lowered to half-staff Friday afternoon in honor of the victims. iReporter witness: 'We have to run' A law enforcement source said two of the guns used in the attack were purchased at a Bass Pro Shop in Denver, while the two others were bought at separate Gander Mountain Guns outlets in the area. Investigators also found a drum magazine, capable of carrying 100 rounds of ammunition, which was attached to the AR-15 rifle, two law enforcement officials said. KWGN: Witnesses first thought gunfire was part of movie A statement from Bass Pro Shops said its Denver store followed appropriate protocol on the sale of the two weapons. Authorities also searched the suspect's car in the parking lot of the movie theater and found more magazines and ammunition, a federal law enforcement official said. "It was everywhere," the official said. Opinion: Gun control won't stop mass murder Christopher Nolan, director of "The Dark Knight Rises," condemned the shooting as "savage" and "appalling." "The movie theatre is my home, and the idea that someone would violate that innocent and hopeful place in such an unbearably savage way is devastating to me," Nolan said in a statement on behalf of the cast and crew of the film. "Nothing any of us can say could ever adequately express our feelings for the innocent victims of this appalling crime, but our thoughts are with them and their families." Four Aurora theaters showing "The Dark Knight Rises" will have extra security for the foreseeable future "out of an abundance of caution," Oates said. Warner Bros., the studio behind the film, canceled the movie's Paris premiere, while New York police Commissioner Raymond Kelly said his officers would watch over screenings of "The Dark Knight" in the city to prevent copycat shootings. AMC Theatres, meanwhile, said it would not permit guests in costumes that make others uncomfortable, nor will it allow face-covering masks or fake weapons. 911 tape: 'I need somebody to shut this movie off' Aurora, a Denver suburb, is about 13 miles from Littleton, Colorado -- site of the April 1999 Columbine High School massacre. In that incident, two teenage students, Dylan Klebold and Eric Harris, armed themselves with guns and bombs and shot people inside the high school. They killed 13 and wounded 23 before killing themselves. Timeline: Worst mass shootings in U.S. Are you there? Share your story on CNN iReport and post tributes to the victims. CNN's Carol Cratty, Ed Lavandera, Susan Candiotti, Joe Sutton, Mike Brooks, Sarah Aarthun, Joe Sterling, Tina Burnside, Chelsea Carter, Melissa Abbey and Jim Spellman contributed to this report. http://edition.cnn.com/2012/07/20/us/colorado-theater-shooting/index.html

Going out for a drink

more Lingo Let's go for a drink! / Let's go down the pub! / Let's go out for a few bevvies. / a few jars. - Let's go to my local public house - the pub - for some drinks. We're going to paint the town red. / We're going to go on a bar crawl. - We're going to several pubs or bars. I'll get the booze!- I'll buy the beer! A glass of bubbly - A glass of champagne or sparkling wine. That wine is corked! It tastes like vinegar. - the wine is bad. A chaser - A measure of a spirit such as whisky or rum which you drink with beer. A double - 2 measures of spirits. A single measure is usually 1/5 of a gill - 25 ml. A drop of the hard stuff - Some spirits rather than beer or wine. A soft drink - A non alcoholic drink. Music Health Sport Relationships Food Going out Moods Work Texting Money At the bar It's my round. What will it be? - I'm buying the drinks - what would you like? Mine's a pint! - A traditional measure of beer, equal to 0.57 litre. A spritzer - wine mixed with soda water. A Red Bull and vodka / A gin and tonic / Rum and cola - Some spirits and their mixers. Happy hour - A time at the beginning of the evening when some bars sell drinks for half price. Too much! I'm over the limit, so let's get a cab. - I'm over the legal limit for being allowed to drive so we should get a taxi. I've been partying all weekend! - I've been out socialising the whole weekend! I've got a really bad hangover - I'm feeling bad this morning [after drinking too much the night before]. I went on a real bender last night. My head's killing me! He got really smashed last night! He was well under the influence! These are ways of describing that you had a great time, drank too much and maybe don't feel your best right now. Going out Fancy going for something to eat? What about going to that new Russell Crowe film? Let's go and do some theatre. Medea has had some great reviews. I fancy seeing that new Italian exhibition. bring a bottle - if you're asked to dinner it's polite to take with you a bottle of wine Staying in I'm going to stay in and veg - I'm going to stay at home and do nothing [vegetate] Jack's such a couch potato - Jack loves to spend his life sitting on the sofa I'm going to go back to mine and chill - I'm going home to seriously relax. let's get a takeaway - food you order from a restaurant to eat at home, usually a curry or Chinese food Lingo Challenge Try using as many of these phrases as you can in a one-minute conversation! How many will you manage to use? Have fun!

Gay Islamic Clerics

! pedophile Islamic clerics?!! by Fariborz (Iran) It’s confusing, right? sounds to me! as I grow up in the Islamic Republic of Iran (IRI) after revolution – an extreme Islamic country – so it was taboo even questioning about gay concept to detail! Just in school they taught us about a story from Quran and how people with same-sex marriage which all punished by God and the get killed so badly! So I understood that there can’t be a gay/lesbian out there but some people who will get punish by God. I grew up with this fact and other legal news about execution of gay people. Till I heard some rumors about people who attend to Islamic schools and they have same sex practices. A Taboo! Even I couldn’t imagine in Islamic school people are committing one the world biggest sins! Do you hear me, Islamic school? I didn’t have any evidence and this rumor didn’t stop there. Actually when I started to research about it almost more than 70% of people who I questioned, they knew it as an unquestionable fact! It was shocking news to me. I knew that having 4 or more women is part of Islamic law and we heard alot about clerics bizzare sexual bahviour specially in their foreign trips but this one! I haven’t had any clue. I’m sure in IRI guys do not French kiss, at least it’s not in our culture. also I am sure about it because I have had lots friends and we have never done it or even think about it. It is gross! (No offence to gays, just this is the way I feel) But I saw many pictures of some Islamic clerics that do French kiss! OMG! Just take a look at them. akhund_kiss.JPG khameni_kiss.JPG (for more picture just check my blog) I thought finally I found out all about them! Islamic clerics are executing gay people but they do it themselves! Double standard! But it didn’t finish here till I noticed these clerics are worst than that! Some of them are pedophiles! Almost 60 percent of people who I asked, they said they heard rumors about pedophile clerics! Just take a good look at pictures: akhund_kiss2.JPG These pictures are crime evidences and even people around this clerics look at them like gross! it all comes from lack of rules. Unfortunately There is no definition of child abuse in our judiciary rules so nobody can bring them to the court of law for child abuse although I think if even we had such rules these clerics would still live by their double standards! We now know that there are pedophile priests which their information are out there and people can be more protect their children. how about Islamic clerics? unfortunately in Islamic countries, they were hiding any information about Islamic clerics sex crime but finally one day this information will be out and people understands clerics outrageous crimes. What is admirable about democratic countries like the United States is how freedom of information act let people have access to this kind of information. Here are a few of the highlights about priest pedophile facts: * US clerics accused of abuse from 1950-2002: 4,392. About 4% of the 109,694 serving during those 52 years. * Individuals making accusations: 10,667. * Victims’ ages: 5.8% under 7; 16% ages 8-10; 50.9% ages 11-14; 27.3% ages 15-17. * Victims’ gender: 81% male, 19% female * Duration of abuse: Among victims, 38.4% said all incidents occurred within one year; 21.8% said one to two years; 28%, two to four years; 11.8% longer. * Victims per priest: 55.7% with one victim; 26.9% with two or three; 13.9% with four to nine; 3.5% with 10 or more (these 149 priests caused 27% of allegations). * Abuse locations: 40.9% at priest’s residence; 16.3% in church; 42.8% elsewhere. * Known cost to dioceses and religious orders: $572,507,094 (does not include the $85 million Boston settlement and other expenses after research was concluded). (Hartford Courant, 2/27/04) For more information about Catholic Pedophile Priests, please study following report A Report on the Crisis in the Catholic Church in the United States This is the United State, how about your country? could we find such information about your country religious clerics? why not? some people think in any institutional religion we can find same problems but mostly they hide it. what do you think? * * Share Elsewhere * inShare0 * * * Filed Under * Arabs * Homosexuality * Iran * Islam * Middle East * Sex * Taboos Join the Conversation 1. Pingback: Spartakus, queer et subversif 2. yaman July 24, 2007 // Reply This post is so homophobic. Really, of all the things the IRI can be criticized for, men kissing men is the best you could come up with? 3. Mike Mela July 24, 2007 // Reply Learn how to speak English you idiot. I’ll hire an educated heathen over an uneducated pious muslim any day. 4. Fariborz (Iran) July 24, 2007 // Reply To yaman: I can’t consider it homophobic! The point that you missed is about Islamic clerics, didn’t you get that part? 5. Fariborz (Iran) July 24, 2007 // Reply To Mike Mela: It seems we got heat here! what’s wrong with you? Is it wrong or against your Islamic rules? can’t anybody criticize in Islamic world? At the first place it maybe be better to ask you, are you Muslim? Is it in your religion to be offensive or is it in you? 6. Fariborz (Iran) July 24, 2007 // Reply To Mike Mela: btw, I can’t work in resturant biz! :) 7. Gary July 25, 2007 // Reply He is so hot! I am intio gay mature bearded bears! 8. Esra'a July 25, 2007 // Reply I don’t think this is meant to be homophobic. It doesn’t really imply that homosexuality is bad, it’s more a statement concerning the hypocrisies of certain clerics/priests to which I wholeheartedly agree with. Imams and clerics where I’m from (and I’m sure in Iran too) are often guilty of rape or molestation, despite their strict stance against it. It’s a huge taboo that is never discussed and I think, despite the satirical tone above, it’s one that should be taken seriously. It happens, and people get away with it. It only goes to prove how corrupt these clerics really are. I’m not saying we should be paranoid and consider any male to male greeting “gay.” I’m just saying that yes, it’s an existing problem which doesn’t deserve to be overlooked or dismissed. I very rarely see anyone talking about it. 9. Fariborz (Iran) July 25, 2007 // Reply To Gary: I don’t know what to say! just I am writing about a real problem and double standards in Islamic countries. 10. Fariborz (Iran) July 25, 2007 // Reply To Esra’a: you clarified it. Thank you very much. 11. Ripper November 29, 2007 // Reply Funny how jews get a few pictures, possibly doctored up and shove in everyones face to be against each other, yet there are more gay jews in the world then any other race. Go back and worship another Golden Calf and fail another test jew! 12. Esra'a November 29, 2007 // Reply Ripper: Who cares? You’re counting how many gays each religion has? 13. Dina Maaty April 24, 2008 // Reply well all these pictures aren’t a kiss on the lips, they are a cheeck kiss missed that became somehow close to the lips, cheeck kiss is a tradition in islam for greeting between men or women. So stop being stupid and talk bad about islam!!!! 14. Confused April 28, 2008 // Reply What was the point of this? to show there is gay men who are clerics in Iran? 15. odey June 9, 2008 // Reply thats not islam…, there a lot of people who dressed like islam in middle east, but not islam. please analyze before post your article. jewes in jerusalem dressed like moslem. that kissing way, is more like cuture, and islam don’t have that kissing. your article can make world action. 16. hamdiderot July 8, 2008 // Reply All Abrahamic religions are hypocrite in the stand concerning homosexuality. Allah promised martyrs (martyrdom is self-destruction )young boys like pearls in paradise to wait upon them.You can easily see why young and handsome boys and not robots. I don’t think the sexuality of Muhammad himslf is worthg of praise he married a nine-years-old girl and got 9 women at once and this is certainly not a model to follow. I think it’s savage to kill some body because of his sexual orientation . 17. NOT so Surprised August 19, 2008 // Reply Well… If an individual is raised in an environment that is not tolerant of sexual differences in people, i.e. GAYS, then I would not be surprised if they find homosexual activity “gross” or “disgusting” because my 2 y.o. boy has seen me make faces of disgust over olives and NOW he does the same! Is anybody really surprised? I am not! I think the post about seeing male clerics locking lips is MONUMENTALLY shocking to an individual who grew up thinking that there never has, never will be homosexuality in his race/religion. Now faced with actually WITNISSING the fact that there indeed IS homosexuality in his religion (even just a kiss) could be a great shock; I think he’s got courage to post/admit that there is. At least he’s not PERPETRATING the lie even further and PRETENTENDING that there isn’t. The world KNOWS that there is homosexuality EVERYWHERE in the world, and in all the religions of the world. It’s a fact. It’s been around since biblical times — and there were probably same-sex unions in the caveman era! 18. areeg September 26, 2008 // Reply mmmmmmmm, Iam sure there is alot of missunderstanding here… pleeeas, just take my words as it is.Iam an educated muslim girl .First of all, ((IRI) after revolution – an extreme Islamic country))<== sorry to tell you that its not that extreme Islamic country as you said ! we ,muslims, especially in Arab Gulf do consider (IRI) as one of the countries wiche has alot,alot,and alot of bad things and belives attached to ISLAM but ISLAM has nothing to do with them !! (( in school they taught us about a story from Quran and how people with same-sex marriage which all punished by God and the get killed so badly!)) yes this one is true . ((I knew that having 4 or (more) women is part of Islamic law )) noooooooooo, thats not true . having more than 4 women is illegal in Islamic law! and to give u more information , you can NOT have more than 1 women unless u can be soooo fair with them (such as giving the 2 wives the same money or taking the 2 of them to travel . Also,you should sleep one nihgt here and one night thare. aaaah , yes about the pic i’ll just quitte this 1-((they are a cheeck kiss missed that became somehow close to the lips, cheeck kiss is a tradition in islam for greeting between men or women)) 2-((there a lot of people who dressed like islam in middle east, but not islam. please analyze before post your article. jewes in jerusalem dressed like moslem. that kissing way, is more like cuture, and islam don’t have that kissing.)) and one more thing .. we ,in middle east, have many greetings way that you do consider it in your culture as gays or lesbians greetings!! such as on cheeck kiss , nose to nose greeting, or even kissing hands-especially between the sun and his father or grand father to show respect-. ((Allah promised martyrs (martyrdom is self-destruction )young boys like pearls in paradise to wait upon them)) <=== I really don’t know where do you get your information from ?!!!!!!! that’s not true !! yes there are young boys like pearls in paradise but to (serve) not to do any ting else !! –you can read (alwaqe’ah) sora in (QURA’AN) ((I don’t think the sexuality of Muhammad himslf is worthg of praise he married a nine-years-old girl and got 9 and this is certainly not a model to follow.)) another incorrect information!! he married a 9 women at oncebefor Islam -as many other people in that time- but after it he was asked to choose just 4 women.. ! another clarification, he did marry a9-years-old girl but he didn’t have sex with her till she grew up !! Finally, sooooooooooooooory about my language (^_^) hope you could understand me .. 19. alfons October 3, 2008 // Reply this pictures are fake, there is not french kiss between mens in islam so who wrote this is juwish or muslim’s hater 20. NotADhimmiYet February 1, 2009 // Reply AREEG- You say, “another clarification, he(Mohammed) did marry a9-years-old girl but he didn’t have sex with her till she grew up !!” Sorry but YOU do not know the Quran or the Hadiths! Mohammed married Aisha when she was SIX years old but he did not have sex with her (consummate the marriage) until she was NINE years old! You also said, “having more than 4 women is illegal in Islamic law!” Having more than 4 WIVES is illegal in Islam. WIVES. But you can have as many other women (“possessions of your right hand”) as you want! These are women who are usually taken captive in war after their husbands have been killed and their children sold into slavery. But they can be any women. That is what is LEGAL in Islam AREEG, I would suggest you learn Islam before you make false statements about it. You are either ignorant about your own Islamic beliefs or you are practicing “taqqiya” – purposely lying to advance the cause of Islam, which Islam permits. 21. yazeed February 7, 2009 // Reply this is the way they kiss….like u kiss your friend on cheek they kiss on lips.. 22. Anonymous May 5, 2009 // Reply you f*ck asse$… wat about all ur gay pedophilic army in iraq raping all their children? 23. NotADhimmiYet June 3, 2009 // Reply Yazeed, you know that is a lie! 24. manjur hossain October 4, 2009 // Reply Dear friend I am A muslim. i.e not valuale. kissing is not prove that they r gay. In India people say NAMASTE in america people handshakeing each other when one meet another. In iraq they kissisg each other . than what is worng. Quran and hadith does not allow same sex. do u know in america 43% people r gay which ia a sex free country. America is largest christhan pupolated country in the world. Will u say bible allow same homo sexolity. or prophet jesus was a gay 25. middle east January 12, 2010 // Reply this is not ISLAM >>>>>> if you heard about Iran (ISLAM only ) this is only in IRAN >>>>>>no any Muslim accept this I’m Muslim and i know that iran people even change the HOLY Quran and they change Islam religion , don’t please say all muslim do this , this is again only in IRAN IRAN IRAN IRAN >>>IRAN will try to make new BOMB to kill us all GOD save us from IRAN >>>they have BOMB and changed Islamic religion and everything please read DEEP in IRAN religion and muslim religion and you will know everything Saudi Arabia Islam different than IRAN not same >>>>>>>middle east ISLAM is Sunni but IRAN not Sunni >>>>read more and deep and search on internet http://en.wikipedia.org/wiki/Iran#Pre-Islamic_statehood_.28625.C2.A0BC_.E2.80.93_651.C2.A0AD.29 26. middle east January 12, 2010 // Reply Great Areeg you give them good lesson about islam read about culture , and religions before you post , i don’t blame you , i blame people that have power to stop this thing IRAN is Devil middle east Islam is the one to follow Not Iranian changed religion ( Iranian is Islam ) please read why gulf war started why IRAQ x IRAN >>>>>>>>>war IRAQx kuwait >>>>>>>>>>>>war IRAQ X IRAN ( war ) because sadam was a man not like iranian gays after that saddam become crazy and think he can win all wars IRAQ x kuwait ( all countries ) Gulf war >>>>>>>>because SADDAM become crazy and need alot of gulf oil for him Iran x USA >>>>>new WAR not expected yet IRAN BOMB x USA ( an all countries ) >>>>>>>>don’t know what will happen!!!!!!!!!! 27. Mariam February 28, 2010 // Reply The photos are either photoshoped or taken from a wrong angle. middle east: I’m really sorry, but I think you might be drunk or something. Wars and bombs has NOTHING to do with this. Iran did not change anything in islam, and it will not “try to make new BOMB to kill us all”. You’re such a drama queen. I’m shia. And I can answer anything you say about us just to shut you up. Now stop talking shit about us or Iran or any of the crap you’re saying and go have a life instead of ruining ours. 28. NotADhimmiYet February 28, 2010 // Reply Mariam, So Iran is NOT trying to get a nuclear bomb? I suppose that there were no demonstrations in the streets either. I suppose Christians have not been arrested and persecuted either. I suppose freedom of all other religions is alive and well in Iran. Woud YOU “go have a life and quit ruining ours”!!!!! 29. Yoly March 20, 2010 // Reply This is just SICK!!!! he should burn in hell!!!!! 30. tom March 23, 2010 // Reply an jew show.these pictures are made up by a jew camera man 31. NotAdhimmiYet March 23, 2010 // Reply Tom, rotflolol Yup! It is the Jews! ALWAYS the Jews! Isn’t it amazing how much power the Jews have over muslims and how much better they are than muslims?!!!! Jews FORCE the muslims to kill them! Just like Americans FORCE muslims to fly American planes into American buildings! And Jews force muslims to call Jews the sons of apes and pigs! Muslims could just be SO peaceful if it wasn’t for those Jews controlling everything a muslim does! lolol Tom, if you are a muslim, SHAME ON YOU for telling such LIES! If you are not a muslim, SHAME ON YOU EVEN MORE!!! 32. Nariman July 11, 2010 // Reply This author is a zionist jew and supported by zionists to destroy islam. i just googled his name and gosh, all websites and weblogs that he writes into are against islam. damn you, you will burn in hell fire 33. Hamid July 11, 2010 // Reply Nariman you are right on. I do not know you know him for real or what….but I know him personally. he is a jewish and sadly a zionist. We have many jewish iranian that are not zionist. they are good and nice. the author is the worst jewish zionist that I have came across to. His mission is to make fun of islam and anything related to islam and feel good about himself. he is behind of many blasphemous weblogs and even he pays to bloggers that write against islam. we have to be very careful with this kind of people and we have to expose them 34. Name * August 12, 2010 // Reply most people mastake Islamic al sheaa with Islamic sona most iran is sheaa so if you want to say that what Islamic do then you mean sheaa and shaaa hate the Islamic sona wich is the truth one and what our profet tough us they atent to do obeside what we have in Islamic and they call them self an Islamic in sona this bhavoure is a sin they allow marrge that last only one day and Islamic sona say its a sin so if you want to say that what Islamic do then your wrong im a Islamic sona the real Islamic and theres nothing in thes behaiver in qurain are writen to be nothing but a sin 35. Pingback: Why the Jews andNWO Hate and Fear the Hajib - Page 14 - Stormfront 36. aaron July 12, 2011 // Reply Gay and pedophile is NOT the same thing. Gays are not interested in children, unless one happens to be a pedo. 37. Ayoob December 12, 2011 // Reply they are not right muslime they craizy pepole they name is Shiahh but the right muslim like http://www.youtube.com/watch?v=n0_jB7dp0S0 http://www.youtube.com/watch?v=2LtCLWjyeqo&feature=results_main&playnext=1&list=PLB8617773327ABB17 I hop to know What is Islame ? and thank you :) 38. THE TRUTH WILL SET U FREE January 19, 2012 // Reply THE FOUNDER OF THE SHIA SECT IS A JEW WHO USED THE NAME Abdullah ibn Saba TO DIVIDE ISLAM MAY GOD PUNISH HIM SUNNI MUSLIMS FOLLOW THE TEACHINGS OF ALL THE PROPHET THIS IS WHY WE NEVER ACCEPT THE SHIA AS MUSLIMS BECAUSE THEY ARE THE OPPOSITE TO WHAT ISLAM REALLY SAYS READ PEOPLE READ THERE ARE 1.4 BILLION SUNNIS 1.4 BILLION PEOPLE CANT BE WRONG 39. anime March 27, 2012 // Reply shame on you..there are sick ppl in every nation and population if you look it in that way.But statistically in Islam is the smallest rate of pervert ppl. And just if there are few rare individuals who are disturb, you dare to accuse and offend entire Muslim population. Shame on you! I must inform you that it is one of the most worst sin strictly punishable in Islam and in Islam are statistically least ppl who are disturbed that way! it is punishable with death punishment and you can say that every other religion is more disturbed in that seance. You cant really relate pedophilia with Islam.. It just dont make any sense ..Islam is fighting the things you mantion. But you would know that if u knew basics core on Islam teaching.. 40. omr May 31, 2012 // Reply Alert!!! Guys this is important for each of the speech does not know Islam These images to a claim and said to them, Islam (Shia) who wear black turbans We declare our innocence of Muslims (Shia) for the accused pedophile Incidentally I am from Saudi Arabia And excuse me if there is a mistake in the translation for it through Google Translate and thank you … http://www.mideastyouth.com/2007/07/24/gay-islamic-clerics/

Franchising

From Wikipedia, the free encyclopedia Jump to: navigation, search This article is about the business concept. For the cable television franchise fee in the United States, see Cable television franchise fee. For the concept of "franchising" in sports, see Major professional sports leagues in the United States and Canada. A McDonald's franchise. Franchising is the practice of using another firm's successful business model. The word 'franchise' is of Anglo-French derivation - from franc - meaning free, and is used both as a noun and as a (transitive) verb.[1] For the franchisor, the franchise is an alternative to building 'chain stores' to distribute goods that avoids the investments and liability of a chain. The franchisor's success depends on the success of the franchisees. The franchisee is said to have a greater incentive than a direct employee because he or she has a direct stake in the business. Thirty three countries, including the United States, China, and Australia, have laws that explicitly regulate franchising, with the majority of all other countries having laws which have a direct or indirect impact on franchising.[2] Contents 1 Overview 2 Obligations of the parties 3 Regulations 3.1 Australia 3.2 New Zealand 3.3 Brazil 3.4 China 3.5 India 3.6 Kazakhstan 3.7 Europe 3.7.1 France 3.7.2 Italy 3.7.3 Norway 3.7.4 Russia 3.7.5 Spain 3.7.6 United Kingdom 3.8 United States 4 Social franchises 5 Event franchising 6 See also 7 References 8 External links Overview The following U.S. listing tabulates[3] the early 2010 ranking of major franchises along with the number of sub-franchisees (or partners) from data available for 2004.[4] As can be seen from the names of the franchises, the USA is a leader in franchising, a position it has held since the 1930s when it used the approach for fast-food restaurants, food inns and, slightly later, motels at the time of the Great Depression. As of 2005, there were 909,253 established franchised businesses, generating $880.9 billion of output and accounting for 8.1 percent of all private, non-farm jobs. This amounts to 11 million jobs, and 4.4 percent of all private sector output.[5] 1. Subway (sandwiches and salads) | startup costs $84,300 – $258,300 (22,000 partners worldwide in 2004). 2. McDonald's | startup costs in 2010, $995,900 – $1,842,700 (37,300 partners in 2010) 3. 7-Eleven Inc. (convenience stores) |startup costs in 2010 $40,500- $775,300, (28,200 partners in 2004) 4. Hampton Inns & Suites (midprice hotels) |startup costs in 2010 $3,716,000 – $15,148,800 5. Great Clips (hair salons) | startup costs in 2010 $109,000 - $203,000 6. H&R Block (tax preparation and now e-filing) | startup costs $26,427 - $84,094 (11,200 partners in 2004) 7. Dunkin' Donuts | startup costs in 2010 $537,750 - $1,765,300 8. Jani-King (commercial cleaning) | startup costs $11,400 - $35,050, (11,000 partners worldwide in 2004) 9. Servpro (insurance and disaster restoration and cleaning) | startup costs in 2010 $102,250 - $161,150 10. MiniMarkets (convenience store and gas station) | startup costs in 2010 $1,835,823 - $7,615,065 Mid-sized franchises like restaurants, gasoline stations and trucking stations involve substantial investment and require all the attention of a businessman. There are also large franchises like hotels, spas, hospitals, etc. which are discussed further under technological alliances. Two important payments are made to a franchisor: (a) a royalty for the trademark and (b) reimbursement for the training and advisory services given to the franchisee. These two fees may be combined in a single 'management' fee. A fee for "disclosure" is separate and is always a "front-end fee". A franchise usually lasts for a fixed time period (broken down into shorter periods, which each require renewal), and serves a specific territory or geographical area surrounding its location. One franchisee may manage several such locations. Agreements typically last from five to thirty years, with premature cancellations or terminations of most contracts bearing serious consequences for franchisees. A franchise is merely a temporary business investment involving renting or leasing an opportunity, not the purchase of a business for the purpose of ownership. It is classified as a wasting asset due to the finite term of the license. A franchise can be exclusive, non-exclusive or 'sole and exclusive'. [icon] This section requires expansion. (August 2010) Although franchisor revenues and profit may be listed in a franchise disclosure document (FDD), no laws require an estimate of franchisee profitability, which depends on how intensively the franchisee 'works' the franchise. Therefore, franchisor fees are typically based on 'gross revenue from sales' and not on profits realized. See Remuneration. Various tangibles and intangibles such as national or international advertising, training and other support services are commonly made available by the franchisor. Franchise brokers help franchisors find appropriate franchisees. There are also main 'master franchisors' who obtain the rights to sub-franchise in a territory. According to the International Franchise Association approximately 4% of all businesses in the United States are franchisee-worked. It should be recognized[citation needed] that franchising is one of the only means available to access venture investment capital without the need to give up control of the operation of the chain and build a distribution system for servicing it. After the brand and formula are carefully designed and properly executed, franchisors are able to sell franchises and expand rapidly across countries and continents using the capital and resources of their franchisees while reducing their own risk. Franchisor rules imposed by the franchising authority are usually very strict in the USA and most other countries need to study them carefully to protect small or start-up franchisee in their own countries.[citation needed] Besides the trademark, there are proprietary service marks which may be copyrighted, and corresponding regulations. Obligations of the parties Each party to a franchise has several interests to protect. The franchisor is involved in securing protection for the trademark, controlling the business concept and securing know-how. The franchisee is obligated to carry out the services for which the trademark has been made prominent or famous. There is a great deal of standardization required. The place of service has to bear the franchisor's signs, logos and trademark in a prominent place. The uniforms worn by the staff of the franchisee have to be of a particular design and colour. The service has to be in accordance with the pattern followed by the franchisor in the successful franchise operations. Thus, franchisees are not in full control of the business, as they would be in retailing. A service can be successful if equipment and supplies are purchased at a fair price from the franchisor or sources recommended by the franchisor. A coffee brew, for example, can be readily identified by the trademark if its raw materials come from a particular supplier. If the franchisor requires purchase from his stores, it may come under anti-trust legislation or equivalent laws of other countries.[1] So too the purchase of uniforms of personnel, signs, etc., as well as the franchise sites, if they are owned or controlled by the franchisor. The franchisee must carefully negotiate the license. He and the franchisor must develop a marketing or business plan. The fees must be fully disclosed and there should not be any hidden fees. The start-up costs and working capital must be known before the license is granted. There must be assurance that additional licensees will not crowd the "territory" if the franchise is worked according to plan. The franchisee must be seen as an independent merchant. He must be protected by the franchisor from any trademark infringement by third parties. A franchise attorney is required to assist the franchisee during negotiations.[6] Often the training period - the costs of which are in great part covered by the initial fee - is too short in cases where it is necessary to operate complicated equipment, and the franchisee has to learn on his own from instruction manuals. The training period must be adequate, but in low-cost franchises it may be considered expensive. Many frachisors have set up corporate universities to train staff online. This is in addition to providing literature, sales documents and email access. Also, franchise agreements carry no guarantees or warranties and the franchisee has little or no recourse to legal intervention in the event of a dispute.[7] Franchise contracts tend to be unilateral contracts in favor of the franchisor, who is generally protected from lawsuits from their franchisees because of the non-negotiable contracts that require franchisees to acknowledge, in effect, that they are buying the franchise knowing that there is risk, and that they have not been promised success or profits by the franchisor. Contracts are renewable at the sole option of the franchisor. Most franchisors require franchisees to sign agreements that mandate where and under what law any dispute would be litigated. Regulations Australia In Australia, franchising is regulated by the "Franchising Code of Conduct", a mandatory code of conduct concluded under the Trade Practices Act 1974. This code requires franchisors to produce a disclosure document which must be given to a prospective franchisee at least 14 days before the franchise agreement is entered into. The code also regulates the content of franchise agreements, for example in relation to marketing funds, a cooling-off period, termination, and the resolution of disputes by mediation. The federal government is currently considering recommended changes to the Code of Conduct. These are contained in the report, "Opportunity not Opportunism: Improving conduct in Australian Franchising" tabled by a Parliamentary inquiry into franchising on 4 December 2008.[8] Some experts have warned that any pressure to increase the regulation of the franchising sector could make it a less attractive means of doing business.[9] New Zealand New Zealand is served by around 423 franchise systems operating 450 brands, giving it the highest proportion of franchises per capita in the world. Despite (or because of) the recession, the total number of franchised units increased by 5.3% from 2009 to 2010.[10] There is no separate law covering franchises, so they are covered by normal commercial law. This functions very well in New Zealand and includes law as it applies to contracts, restrictive trade practices, intellectual property and the law of misleading or deceptive conduct.[11] The Franchise Association of New Zealand introduced a self-regulatory Code of Practice for its members in 1996. This contains many provisions similar to those of the Australian Franchising Code of Practice legislation, although it should be noted that only around a third of all franchises are members of the association and therefore bound by the code.[12] A case of fraud in 2007 perpetrated by a former master franchisee of the country's largest franchise system[13] led to a review of the need for franchise law by the Ministry of Economic Development.[14] The New Zealand Government decided there was no case for franchise-specific legislation at this time.[15] This decision was criticised by the Opposition,[16] which had initiated the review when in power, and the review process was questioned by a leading academic.[17] The Franchise Association originally supported the positive regulation of the franchise sector[18] but its eventual submission to the review was in favour of the status quo – self-regulation.[19] Brazil In 2008, there were about 1,013 franchises[20] with more than 62,500 outlets, making it one of the largest countries in the world in terms of number of units. Around 11 percent of this total are foreign-based franchisors. The Brazilian Franchise Law (Law No. 8955 of December 15, 1994) defines the franchise as a system in which the franchisor licenses the franchisee, for a payment, the right to use a trademark/patent along with the right to distribute products or services on an exclusive or semi-exclusive basis. The provision of a "Franchise Offer Circular" or disclosure document is mandatory before execution of agreement and is valid for all of the Brazilian territory. Failure to disclose voids the agreement, which leads to refunds and serious payments for damages. The Franchise Law does not distinguish between Brazilian and foreign franchisors. The National Institute of Industrial Property (INPI) is the registering authority. Indispensable documents are a Statement of Delivery (of disclosure documentation) and a Certification of Recording (INPI). The latter is necessary for payments. All sums amounts may not be convertible into foreign currency. Certification may also mean compliance with Brazil's antitrust legislation. Parties to international franchising may decide to adopt the English language for the document, as long as the Brazilian party knows English fluently and expressly acknowledges that fact, to avoid translation. The Registration accomplishes three things: * It make the agreement effective against third parties * It permits the remittance of payments * It qualifies the franchisee for tax deductions. Page reference in franchising in this country: Guide of Franchising - Guia do Franchising (http://www.guiadofranchising.com.br) China China has the most franchises in the world but the scale of their operations is relatively small. Each system in China has an average of 43 outlets, compared to more than 540 in the United States. Together, there are 2600 brands in some 200,000 retail markets. KFC was the most significant foreign entry in 1987 and is widespread [21] Many franchises are in fact joint-ventures, as at their forming the franchise law was not explicit. For example, McDonald's is a joint venture. Pizza Hut, TGIF, Wal-mart, Starbucks followed a little later. But total franchising is only 3% of retail trade, which seeks foreign franchise growth. The year 2005 saw the birth of an updated franchise law,[21] "Measures for the Administration of Commercial Franchise".[22] Previous legislation (1997) made no specific inclusion of foreign investors. Today the franchise law is much clearer by virtue of the 2007 law,[23] a revision of the 2005 law. The laws are applicable if there are transactions involving a trademark combined with payments with many obligations on the franchisor. The law comprises 42 articles and 8 chapters. Among the franchisor obligations are: The FIE (foreign-invested enterprise) franchisor must be registered by the regulator The franchisor (or its subsidiary) must have operated at least operated two company-owned franchises in China (revised to "anywhere")for more than 12 months ("the two-store, one-year" rule) The franchisor must disclosure any information requested by the franchisee Cross-border franchising, with some caveats, is possible (2007 law). The franchisor must meet a list of requirements for registration, among which are: The standard franchise agreement, working manual and working capital requirements, A track-record of operations, and ample ability to supply materials, The ability to train the Chinese personnel and provide Long-term operational guidance, The franchise agreement must have a minimum three-year term. Among other provisions: The franchisor is liable for certain actions of its suppliers Monetary and other penalties apply for infractions of the regulations. The disclosure has to take place 20 days in advance. It has to contain: Details of the franchisor's experience in the franchised business with scope of business Identification of the franchisor's principal officers Litigation of the franchisor during the past five years Full details about all franchise fees The amount of a franchisee's initial investment A list of the goods or services the franchisor can supply, and the terms of supply The training franchisees will receive Information about the trademarks,including registration, usage, and litigation Demonstration of the franchisor's capabilities to provide training and guidance Statistics about existing units, including number, locations, and operational results, and the percentage of franchises that have been terminated, and An audited financial report and tax information (for an unspecified period of time). Other elements of this legislation are: The franchisee's confidentiality obligations continue indefinitely after termination or expiration of the franchise agreement If the franchisee has paid a deposit to the franchisor, it must be refunded on termination of the franchise agreement; upon termination, the franchisee is prohibited from continuing to use the franchisor's marks. India The franchising of goods and services foreign to India is in its infancy. The first International Exhibition was only held in 2009.[24] India is, however, one of the biggest franchising markets because of its large middle-class of 300 million who are not reticent about spending and because the population is entrepreneurial in character. In a highly diversified society, (see Demographics of India) McDonald's is a success story despite its fare's differing from that of the rest of the world.[25] So far, franchise agreements are covered under two standard commercial laws: the Contract Act 1872 and the Specific Relief Act 1963, which provide for both specific enforcement of covenants in a contract and remedies in the form of damages for breach of contract. Kazakhstan In Kazakhstan franchise turnover for 2010 is 1 billion US$ dollars per year. Kazakhstan is the leader in Central Asia in the franchising market. There is a special law on franchising which went into effect in 2002. There are about 300 franchise systems and the number of franchised outlets approaches 2000.[26] Kazakhstan franchising began with the emergence of a "Coca-Cola" factory, opened to sublicense a Turkish licensor of the same brand. The plant was built in 1994. Other brands that are also present in Kazakhstan through the franchise system include Pepsi, Hilton, Marriott, Intercontinental, and Pizza Hut. Europe Franchising has grown rapidly in Europe in recent years, but the industry is largely unregulated. Unlike the United States, the European Union has not adopted a uniform franchise disclosure policy. Only five countries in Europe have adopted pre-sale disclosure obligations. They are France (1989), Spain (1996), Romania (1997), Italy (2004) and Belgium (2005).[27] The Code of Ethics of the European Franchising Federation is self-enforced in seventeen European states where their national franchise associations are members of the European Franchise Federation (EFF) and the International Institute for the Unification of Private Law UNIDROIT. All formal disclosure countries are required to furnish "Contract Summaries" highlighting: The object of the contract The rights and obligations of the parties The financial conditions The term of the contract. Legal consultation is needed before entering and finalizing the agreement(s). Most often one of the principal tasks in Europe is to find retail space, which is not so significant a factor in the USA. This is where the franchise broker, or the master franchisor, plays an important role. Cultural factors are also relevant, as local populations tend to be homogeneous. France France is one of Europe's largest markets. Similar to the United States, it has a long history of franchising, dating back to the 1930s. Growth came in the 1970s. The market is considered difficult for outside franchisors because of cultural characteristics, yet McDonald's and Century 21 are found everywhere. There are some 30 U.S. firms involved in franchising in France.[28] There are no government agencies regulating franchises. The Loi Doubin Law of 1989 was the first European franchise disclosure law. Combined with Decree No. 91-337, it regulates disclosure, although the decree also applies to any person who provides to another person a corporate name, trademark or trade name or other business arrangements. The law applies to "exclusive or quasi-exclusive territory". The disclosure document must be delivered at least 20 days before the execution of the agreement or any payments are made. The specific and important disclosures to be made are [29]: a) The date of the founding of the franchisor's enterprise and a summary of its business history and all information necessary to assess the business experience of the franchisor, including bankers, b) A description of the local market for the goods or services, c) The franchisor's financial statements for the previous two years, d) A list of all other franchisees currently in the network, e) All franchisees who have left the network during the preceding year, whether by termination or non-renewal, and f) The conditions for renewal, assignment, termination and the scope of exclusivity. Initially, there was some uncertainty whether any breach of the provisions of the Doubin law would enable the franchisee to walk away from the contract. However, the French supreme court (Cour de cassation) eventually ruled that agreements should only be annulled where missing or incorrect information affected the decision of the franchisee to enter into the agreement. The burden of proof is on the franchisee. [30] Dispute settlement features are only incorporated in some European countries. By not being rigorous, franchising is encouraged. Italy Under Italian law franchise [31] is defined as an arrangement between two financially independent parties where a franchisee is granted, in exchange for a consideration, the right to market goods and services under particular trademarks. In addition, articles dictate the form and content of the franchise agreement and define the documents that must be made available 30 days prior to execution. The franchisor must disclose: a) A summary of the franchise activities and operations, b) A list of franchisees currently operating in the franchise system in Italy, c) Year-by-year details of the changes in the number of franchisees for the previous three years in Italy, d) A summary of any court or arbitral proceedings in Italy related to the franchise system, and e) If requested by the franchisee, copies of franchisor's balance sheets for the previous three years, or since start-up if that period is shorter. Norway There are no specific laws regulating franchising in Norway. However, the Norwegian Competition Act section 10 prohibits cooperation which may prevent, limit or diminish the competition. This may also apply to vertical cooperation such as franchising. Russia In Russia, under chapter 54 of the Civil Code (passed 1996), franchise agreements are invalid unless written and registered, and franchisors cannot set standards or limits on the prices of the franchisee's goods. Enforcement of laws and resolution of contractual disputes is a problem:[citation needed] Dunkin' Donuts chose to terminate its contract with Russian franchisees who were selling vodka and meat patties contrary to their contracts, rather than pursue legal remedies.[32] Spain The legal definition of franchising in Spain is an activity in which an undertaking, the franchisor, grants to another party, the franchisee, for a specific market and in exchange for financial compensation (either direct, indirect or both), the right to exploit an own system to commercialize products or services already exploited by the franchisor with enough success and experience. The Spanish Retail Trading Act regulates franchising.[33] The contents of the franchise must include, at least: The use of a common name or brand or any other intellectual property right and a uniform presentation of the premises or the transport means included in the agreement. The communication by the franchisor to the franchise of certain technical knowledge or substantial and singular know-how that has to be owned by the franchisor, and Technical or commercial assistance or both, provided by the franchisor to the franchisee during the agreement, without prejudice to any supervision faculty to which the parties could freely agree in the contract. In Spain, the franchisor submits the disclosure information 20 days prior to signing the agreement or prior to any payment made by the franchisee to the franchisor. Franchisors are to disclose to the potential franchisee specific information in writing. This information has to be true and not misleading and include: Identification of the franchisor; Justification of ownership or license for use of any trademark or similar sign and judicial claims affecting them as well as the duration of the license; General description of the sector in which the franchise operates; Experience of the franchisor; Contents and characteristics of the franchise and its exploitation; Structure and extension of the network in Spain; Essential elements of the franchise agreement. Franchisors (with some exceptions) should be registered in the Franchisors’ Register and provide the requested information. According to the regulation in force in 2010 this obligation has to be met within three months after the start of its activities in Spain.[34] United Kingdom In the United Kingdom there are no franchise-specific laws; franchises are subject to the same laws that govern other businesses. For example, franchise agreements are produced under regular contract law and do not have to conform to any further legislation or guidelines.[35] There is some self-regulation through the British Franchise Association (BFA) and the UK Franchise Organisation. However, there are many franchise businesses which do not become members, and many businesses that refer to themselves as franchisors do not conform to these rules.[citation needed] There are several people and organisations in the industry calling for the creation of a framework to help reduce the number of "cowboy" franchises and help the industry clean up its image.[who?] On 22 May 2007, hearings were held in the UK Parliament concerning citizen-initiated petitions for special regulation of franchising by the government of the UK due to losses incurred by citizens who had invested in franchises. The Minister of Industry, Margaret Hodge, conducted hearings but resisted any government regulation of franchising with the advice that government regulation of franchising might lull the public into a false sense of security. The Minister of Industry indicated that if due diligence were performed by the investors and the banks, the current laws governing business contracts in the UK offered sufficient protection for the public and the banks.[36] United States Isaac Singer, who made improvements to an existing model of a sewing machine in the 1850s, began one of the first franchising efforts in the United States, followed later by Coca-Cola, Western Union, etc.[37] and by agreements between automobile manufacturers and dealers.[38] Modern franchising came to prominence with the rise of franchise-based food service establishments. In 1932, Howard Deering Johnson established the first modern restaurant franchise based on his successful Quincy, Massachusetts Howard Johnson's restaurant founded in the late 1920s.[39][40] The idea was to let independent operators use the same name, food, supplies, logo and even building design in exchange for a fee. The growth in franchising accelerated in the 1930s when such chains as Howard Johnson's started to franchise motels.[41] The 1950s saw a boom in franchise chains in conjunction with the development of the U.S. Interstate Highway System. In the United States, the Federal Trade Commission has oversight of franchising, rather than the U.S. Securities and Exchange Commission. The FTC administrates oversight via the FTC Franchise Rule.[42] The (FTC) Federal Trade Commission requires that the franchisee be furnished with a Franchise Disclosure Document (FDD) by the franchisor at least fourteen days before money changes hands or a franchise agreement is signed. The final agreement is always a negotiated document setting forth fees and other terms. Whereas elements of the disclosure may be available from third parties, only that provided by the franchisor can be depended upon. The U.S. Franchise Disclosure Document (FDD) is lengthy (300-700 pp +) and detailed (see Uniform Franchise Offering Circular (UFOC) for elements of disclosure), and generally requires audited financial statements from the franchisor in a particular format, except in some circumstances, such as where a franchisor is new. It must include such data as the names, addresses and telephone numbers of the franchisees in the licensed territory (who may be contacted and consulted before negotiations), estimate of total franchise revenues and franchisor profitability. Individual states may require the FDD to contain their own specific requirements, but the requirements in state disclosure documents must be in compliance with the federal rule that governs federal regulatory policy. There is no private right of action of action under the FTC rule for franchisor violation of the rule, but fifteen or more of the states have passed statutes that provide this right of action to franchisees when fraud can be proven under these special statutes. The majority of franchisors have inserted mandatory arbitration clauses into their agreements with their franchisees, some of which the U.S. Supreme Court has dealt with. There is no federal registry of franchises or any federal filing requirements for information. States are the primary collectors of data on franchising companies and enforce laws and regulations regarding their presence and their spread in their jurisdictions. Where the franchisor has many partners, the agreement may take the shape of a business format franchise - an agreement that is identical for all franchisees. Social franchises In recent years, the idea of franchising has been picked up by the social enterprise sector, which hopes to simplify and expedite the process of setting up new businesses. A number of business ideas, such as soap making, wholefood retailing, aquarium maintenance, and hotel operation have been identified as suitable for adoption by social firms employing disabled and disadvantaged people. The most successful example is probably the CAP Markets, a steadily growing chain of some 50 neighborhood supermarkets in Germany. Other examples are the St. Mary's Place Hotel in Edinburgh and the Hotel Tritone in Trieste. Social franchising also refers to a technique used by governments and aid donors to provide essential clinical health services in the developing world. Event franchising Event franchising is the duplication of public events in other geographical areas, retaining the original brand (logo), mission, concept and format of the event.[43] As in classic franchising, event franchising is built on precisely copying successful events. An example of event franchising is the World Economic Forum, also known as the Davos forum, which has regional event franchisees in China, Latin America, etc. Likewise, the alter-globalist World Social Forum has launched many national events. When The Music Stops is an example of an events franchise in the UK, in this case, running speed dating and singles events. http://en.wikipedia.org/wiki/Franchising
Franchising From Wikipedia, the free encyclopedia Jump to: navigation, search This article is about the business concept. For the cable television franchise fee in the United States, see Cable television franchise fee. For the concept of "franchising" in sports, see Major professional sports leagues in the United States and Canada. A McDonald's franchise. Franchising is the practice of using another firm's successful business model. The word 'franchise' is of Anglo-French derivation - from franc - meaning free, and is used both as a noun and as a (transitive) verb.[1] For the franchisor, the franchise is an alternative to building 'chain stores' to distribute goods that avoids the investments and liability of a chain. The franchisor's success depends on the success of the franchisees. The franchisee is said to have a greater incentive than a direct employee because he or she has a direct stake in the business. Thirty three countries, including the United States, China, and Australia, have laws that explicitly regulate franchising, with the majority of all other countries having laws which have a direct or indirect impact on franchising.[2] Contents 1 Overview 2 Obligations of the parties 3 Regulations 3.1 Australia 3.2 New Zealand 3.3 Brazil 3.4 China 3.5 India 3.6 Kazakhstan 3.7 Europe 3.7.1 France 3.7.2 Italy 3.7.3 Norway 3.7.4 Russia 3.7.5 Spain 3.7.6 United Kingdom 3.8 United States 4 Social franchises 5 Event franchising 6 See also 7 References 8 External links Overview The following U.S. listing tabulates[3] the early 2010 ranking of major franchises along with the number of sub-franchisees (or partners) from data available for 2004.[4] As can be seen from the names of the franchises, the USA is a leader in franchising, a position it has held since the 1930s when it used the approach for fast-food restaurants, food inns and, slightly later, motels at the time of the Great Depression. As of 2005, there were 909,253 established franchised businesses, generating $880.9 billion of output and accounting for 8.1 percent of all private, non-farm jobs. This amounts to 11 million jobs, and 4.4 percent of all private sector output.[5] 1. Subway (sandwiches and salads) | startup costs $84,300 – $258,300 (22,000 partners worldwide in 2004). 2. McDonald's | startup costs in 2010, $995,900 – $1,842,700 (37,300 partners in 2010) 3. 7-Eleven Inc. (convenience stores) |startup costs in 2010 $40,500- $775,300, (28,200 partners in 2004) 4. Hampton Inns & Suites (midprice hotels) |startup costs in 2010 $3,716,000 – $15,148,800 5. Great Clips (hair salons) | startup costs in 2010 $109,000 - $203,000 6. H&R Block (tax preparation and now e-filing) | startup costs $26,427 - $84,094 (11,200 partners in 2004) 7. Dunkin' Donuts | startup costs in 2010 $537,750 - $1,765,300 8. Jani-King (commercial cleaning) | startup costs $11,400 - $35,050, (11,000 partners worldwide in 2004) 9. Servpro (insurance and disaster restoration and cleaning) | startup costs in 2010 $102,250 - $161,150 10. MiniMarkets (convenience store and gas station) | startup costs in 2010 $1,835,823 - $7,615,065 Mid-sized franchises like restaurants, gasoline stations and trucking stations involve substantial investment and require all the attention of a businessman. There are also large franchises like hotels, spas, hospitals, etc. which are discussed further under technological alliances. Two important payments are made to a franchisor: (a) a royalty for the trademark and (b) reimbursement for the training and advisory services given to the franchisee. These two fees may be combined in a single 'management' fee. A fee for "disclosure" is separate and is always a "front-end fee". A franchise usually lasts for a fixed time period (broken down into shorter periods, which each require renewal), and serves a specific territory or geographical area surrounding its location. One franchisee may manage several such locations. Agreements typically last from five to thirty years, with premature cancellations or terminations of most contracts bearing serious consequences for franchisees. A franchise is merely a temporary business investment involving renting or leasing an opportunity, not the purchase of a business for the purpose of ownership. It is classified as a wasting asset due to the finite term of the license. A franchise can be exclusive, non-exclusive or 'sole and exclusive'. [icon] This section requires expansion. (August 2010) Although franchisor revenues and profit may be listed in a franchise disclosure document (FDD), no laws require an estimate of franchisee profitability, which depends on how intensively the franchisee 'works' the franchise. Therefore, franchisor fees are typically based on 'gross revenue from sales' and not on profits realized. See Remuneration. Various tangibles and intangibles such as national or international advertising, training and other support services are commonly made available by the franchisor. Franchise brokers help franchisors find appropriate franchisees. There are also main 'master franchisors' who obtain the rights to sub-franchise in a territory. According to the International Franchise Association approximately 4% of all businesses in the United States are franchisee-worked. It should be recognized[citation needed] that franchising is one of the only means available to access venture investment capital without the need to give up control of the operation of the chain and build a distribution system for servicing it. After the brand and formula are carefully designed and properly executed, franchisors are able to sell franchises and expand rapidly across countries and continents using the capital and resources of their franchisees while reducing their own risk. Franchisor rules imposed by the franchising authority are usually very strict in the USA and most other countries need to study them carefully to protect small or start-up franchisee in their own countries.[citation needed] Besides the trademark, there are proprietary service marks which may be copyrighted, and corresponding regulations. Obligations of the parties Each party to a franchise has several interests to protect. The franchisor is involved in securing protection for the trademark, controlling the business concept and securing know-how. The franchisee is obligated to carry out the services for which the trademark has been made prominent or famous. There is a great deal of standardization required. The place of service has to bear the franchisor's signs, logos and trademark in a prominent place. The uniforms worn by the staff of the franchisee have to be of a particular design and colour. The service has to be in accordance with the pattern followed by the franchisor in the successful franchise operations. Thus, franchisees are not in full control of the business, as they would be in retailing. A service can be successful if equipment and supplies are purchased at a fair price from the franchisor or sources recommended by the franchisor. A coffee brew, for example, can be readily identified by the trademark if its raw materials come from a particular supplier. If the franchisor requires purchase from his stores, it may come under anti-trust legislation or equivalent laws of other countries.[1] So too the purchase of uniforms of personnel, signs, etc., as well as the franchise sites, if they are owned or controlled by the franchisor. The franchisee must carefully negotiate the license. He and the franchisor must develop a marketing or business plan. The fees must be fully disclosed and there should not be any hidden fees. The start-up costs and working capital must be known before the license is granted. There must be assurance that additional licensees will not crowd the "territory" if the franchise is worked according to plan. The franchisee must be seen as an independent merchant. He must be protected by the franchisor from any trademark infringement by third parties. A franchise attorney is required to assist the franchisee during negotiations.[6] Often the training period - the costs of which are in great part covered by the initial fee - is too short in cases where it is necessary to operate complicated equipment, and the franchisee has to learn on his own from instruction manuals. The training period must be adequate, but in low-cost franchises it may be considered expensive. Many frachisors have set up corporate universities to train staff online. This is in addition to providing literature, sales documents and email access. Also, franchise agreements carry no guarantees or warranties and the franchisee has little or no recourse to legal intervention in the event of a dispute.[7] Franchise contracts tend to be unilateral contracts in favor of the franchisor, who is generally protected from lawsuits from their franchisees because of the non-negotiable contracts that require franchisees to acknowledge, in effect, that they are buying the franchise knowing that there is risk, and that they have not been promised success or profits by the franchisor. Contracts are renewable at the sole option of the franchisor. Most franchisors require franchisees to sign agreements that mandate where and under what law any dispute would be litigated. Regulations Australia In Australia, franchising is regulated by the "Franchising Code of Conduct", a mandatory code of conduct concluded under the Trade Practices Act 1974. This code requires franchisors to produce a disclosure document which must be given to a prospective franchisee at least 14 days before the franchise agreement is entered into. The code also regulates the content of franchise agreements, for example in relation to marketing funds, a cooling-off period, termination, and the resolution of disputes by mediation. The federal government is currently considering recommended changes to the Code of Conduct. These are contained in the report, "Opportunity not Opportunism: Improving conduct in Australian Franchising" tabled by a Parliamentary inquiry into franchising on 4 December 2008.[8] Some experts have warned that any pressure to increase the regulation of the franchising sector could make it a less attractive means of doing business.[9] New Zealand New Zealand is served by around 423 franchise systems operating 450 brands, giving it the highest proportion of franchises per capita in the world. Despite (or because of) the recession, the total number of franchised units increased by 5.3% from 2009 to 2010.[10] There is no separate law covering franchises, so they are covered by normal commercial law. This functions very well in New Zealand and includes law as it applies to contracts, restrictive trade practices, intellectual property and the law of misleading or deceptive conduct.[11] The Franchise Association of New Zealand introduced a self-regulatory Code of Practice for its members in 1996. This contains many provisions similar to those of the Australian Franchising Code of Practice legislation, although it should be noted that only around a third of all franchises are members of the association and therefore bound by the code.[12] A case of fraud in 2007 perpetrated by a former master franchisee of the country's largest franchise system[13] led to a review of the need for franchise law by the Ministry of Economic Development.[14] The New Zealand Government decided there was no case for franchise-specific legislation at this time.[15] This decision was criticised by the Opposition,[16] which had initiated the review when in power, and the review process was questioned by a leading academic.[17] The Franchise Association originally supported the positive regulation of the franchise sector[18] but its eventual submission to the review was in favour of the status quo – self-regulation.[19] Brazil In 2008, there were about 1,013 franchises[20] with more than 62,500 outlets, making it one of the largest countries in the world in terms of number of units. Around 11 percent of this total are foreign-based franchisors. The Brazilian Franchise Law (Law No. 8955 of December 15, 1994) defines the franchise as a system in which the franchisor licenses the franchisee, for a payment, the right to use a trademark/patent along with the right to distribute products or services on an exclusive or semi-exclusive basis. The provision of a "Franchise Offer Circular" or disclosure document is mandatory before execution of agreement and is valid for all of the Brazilian territory. Failure to disclose voids the agreement, which leads to refunds and serious payments for damages. The Franchise Law does not distinguish between Brazilian and foreign franchisors. The National Institute of Industrial Property (INPI) is the registering authority. Indispensable documents are a Statement of Delivery (of disclosure documentation) and a Certification of Recording (INPI). The latter is necessary for payments. All sums amounts may not be convertible into foreign currency. Certification may also mean compliance with Brazil's antitrust legislation. Parties to international franchising may decide to adopt the English language for the document, as long as the Brazilian party knows English fluently and expressly acknowledges that fact, to avoid translation. The Registration accomplishes three things: * It make the agreement effective against third parties * It permits the remittance of payments * It qualifies the franchisee for tax deductions. Page reference in franchising in this country: Guide of Franchising - Guia do Franchising (http://www.guiadofranchising.com.br) China China has the most franchises in the world but the scale of their operations is relatively small. Each system in China has an average of 43 outlets, compared to more than 540 in the United States. Together, there are 2600 brands in some 200,000 retail markets. KFC was the most significant foreign entry in 1987 and is widespread [21] Many franchises are in fact joint-ventures, as at their forming the franchise law was not explicit. For example, McDonald's is a joint venture. Pizza Hut, TGIF, Wal-mart, Starbucks followed a little later. But total franchising is only 3% of retail trade, which seeks foreign franchise growth. The year 2005 saw the birth of an updated franchise law,[21] "Measures for the Administration of Commercial Franchise".[22] Previous legislation (1997) made no specific inclusion of foreign investors. Today the franchise law is much clearer by virtue of the 2007 law,[23] a revision of the 2005 law. The laws are applicable if there are transactions involving a trademark combined with payments with many obligations on the franchisor. The law comprises 42 articles and 8 chapters. Among the franchisor obligations are: The FIE (foreign-invested enterprise) franchisor must be registered by the regulator The franchisor (or its subsidiary) must have operated at least operated two company-owned franchises in China (revised to "anywhere")for more than 12 months ("the two-store, one-year" rule) The franchisor must disclosure any information requested by the franchisee Cross-border franchising, with some caveats, is possible (2007 law). The franchisor must meet a list of requirements for registration, among which are: The standard franchise agreement, working manual and working capital requirements, A track-record of operations, and ample ability to supply materials, The ability to train the Chinese personnel and provide Long-term operational guidance, The franchise agreement must have a minimum three-year term. Among other provisions: The franchisor is liable for certain actions of its suppliers Monetary and other penalties apply for infractions of the regulations. The disclosure has to take place 20 days in advance. It has to contain: Details of the franchisor's experience in the franchised business with scope of business Identification of the franchisor's principal officers Litigation of the franchisor during the past five years Full details about all franchise fees The amount of a franchisee's initial investment A list of the goods or services the franchisor can supply, and the terms of supply The training franchisees will receive Information about the trademarks,including registration, usage, and litigation Demonstration of the franchisor's capabilities to provide training and guidance Statistics about existing units, including number, locations, and operational results, and the percentage of franchises that have been terminated, and An audited financial report and tax information (for an unspecified period of time). Other elements of this legislation are: The franchisee's confidentiality obligations continue indefinitely after termination or expiration of the franchise agreement If the franchisee has paid a deposit to the franchisor, it must be refunded on termination of the franchise agreement; upon termination, the franchisee is prohibited from continuing to use the franchisor's marks. India The franchising of goods and services foreign to India is in its infancy. The first International Exhibition was only held in 2009.[24] India is, however, one of the biggest franchising markets because of its large middle-class of 300 million who are not reticent about spending and because the population is entrepreneurial in character. In a highly diversified society, (see Demographics of India) McDonald's is a success story despite its fare's differing from that of the rest of the world.[25] So far, franchise agreements are covered under two standard commercial laws: the Contract Act 1872 and the Specific Relief Act 1963, which provide for both specific enforcement of covenants in a contract and remedies in the form of damages for breach of contract. Kazakhstan In Kazakhstan franchise turnover for 2010 is 1 billion US$ dollars per year. Kazakhstan is the leader in Central Asia in the franchising market. There is a special law on franchising which went into effect in 2002. There are about 300 franchise systems and the number of franchised outlets approaches 2000.[26] Kazakhstan franchising began with the emergence of a "Coca-Cola" factory, opened to sublicense a Turkish licensor of the same brand. The plant was built in 1994. Other brands that are also present in Kazakhstan through the franchise system include Pepsi, Hilton, Marriott, Intercontinental, and Pizza Hut. Europe Franchising has grown rapidly in Europe in recent years, but the industry is largely unregulated. Unlike the United States, the European Union has not adopted a uniform franchise disclosure policy. Only five countries in Europe have adopted pre-sale disclosure obligations. They are France (1989), Spain (1996), Romania (1997), Italy (2004) and Belgium (2005).[27] The Code of Ethics of the European Franchising Federation is self-enforced in seventeen European states where their national franchise associations are members of the European Franchise Federation (EFF) and the International Institute for the Unification of Private Law UNIDROIT. All formal disclosure countries are required to furnish "Contract Summaries" highlighting: The object of the contract The rights and obligations of the parties The financial conditions The term of the contract. Legal consultation is needed before entering and finalizing the agreement(s). Most often one of the principal tasks in Europe is to find retail space, which is not so significant a factor in the USA. This is where the franchise broker, or the master franchisor, plays an important role. Cultural factors are also relevant, as local populations tend to be homogeneous. France France is one of Europe's largest markets. Similar to the United States, it has a long history of franchising, dating back to the 1930s. Growth came in the 1970s. The market is considered difficult for outside franchisors because of cultural characteristics, yet McDonald's and Century 21 are found everywhere. There are some 30 U.S. firms involved in franchising in France.[28] There are no government agencies regulating franchises. The Loi Doubin Law of 1989 was the first European franchise disclosure law. Combined with Decree No. 91-337, it regulates disclosure, although the decree also applies to any person who provides to another person a corporate name, trademark or trade name or other business arrangements. The law applies to "exclusive or quasi-exclusive territory". The disclosure document must be delivered at least 20 days before the execution of the agreement or any payments are made. The specific and important disclosures to be made are [29]: a) The date of the founding of the franchisor's enterprise and a summary of its business history and all information necessary to assess the business experience of the franchisor, including bankers, b) A description of the local market for the goods or services, c) The franchisor's financial statements for the previous two years, d) A list of all other franchisees currently in the network, e) All franchisees who have left the network during the preceding year, whether by termination or non-renewal, and f) The conditions for renewal, assignment, termination and the scope of exclusivity. Initially, there was some uncertainty whether any breach of the provisions of the Doubin law would enable the franchisee to walk away from the contract. However, the French supreme court (Cour de cassation) eventually ruled that agreements should only be annulled where missing or incorrect information affected the decision of the franchisee to enter into the agreement. The burden of proof is on the franchisee. [30] Dispute settlement features are only incorporated in some European countries. By not being rigorous, franchising is encouraged. Italy Under Italian law franchise [31] is defined as an arrangement between two financially independent parties where a franchisee is granted, in exchange for a consideration, the right to market goods and services under particular trademarks. In addition, articles dictate the form and content of the franchise agreement and define the documents that must be made available 30 days prior to execution. The franchisor must disclose: a) A summary of the franchise activities and operations, b) A list of franchisees currently operating in the franchise system in Italy, c) Year-by-year details of the changes in the number of franchisees for the previous three years in Italy, d) A summary of any court or arbitral proceedings in Italy related to the franchise system, and e) If requested by the franchisee, copies of franchisor's balance sheets for the previous three years, or since start-up if that period is shorter. Norway There are no specific laws regulating franchising in Norway. However, the Norwegian Competition Act section 10 prohibits cooperation which may prevent, limit or diminish the competition. This may also apply to vertical cooperation such as franchising. Russia In Russia, under chapter 54 of the Civil Code (passed 1996), franchise agreements are invalid unless written and registered, and franchisors cannot set standards or limits on the prices of the franchisee's goods. Enforcement of laws and resolution of contractual disputes is a problem:[citation needed] Dunkin' Donuts chose to terminate its contract with Russian franchisees who were selling vodka and meat patties contrary to their contracts, rather than pursue legal remedies.[32] Spain The legal definition of franchising in Spain is an activity in which an undertaking, the franchisor, grants to another party, the franchisee, for a specific market and in exchange for financial compensation (either direct, indirect or both), the right to exploit an own system to commercialize products or services already exploited by the franchisor with enough success and experience. The Spanish Retail Trading Act regulates franchising.[33] The contents of the franchise must include, at least: The use of a common name or brand or any other intellectual property right and a uniform presentation of the premises or the transport means included in the agreement. The communication by the franchisor to the franchise of certain technical knowledge or substantial and singular know-how that has to be owned by the franchisor, and Technical or commercial assistance or both, provided by the franchisor to the franchisee during the agreement, without prejudice to any supervision faculty to which the parties could freely agree in the contract. In Spain, the franchisor submits the disclosure information 20 days prior to signing the agreement or prior to any payment made by the franchisee to the franchisor. Franchisors are to disclose to the potential franchisee specific information in writing. This information has to be true and not misleading and include: Identification of the franchisor; Justification of ownership or license for use of any trademark or similar sign and judicial claims affecting them as well as the duration of the license; General description of the sector in which the franchise operates; Experience of the franchisor; Contents and characteristics of the franchise and its exploitation; Structure and extension of the network in Spain; Essential elements of the franchise agreement. Franchisors (with some exceptions) should be registered in the Franchisors’ Register and provide the requested information. According to the regulation in force in 2010 this obligation has to be met within three months after the start of its activities in Spain.[34] United Kingdom In the United Kingdom there are no franchise-specific laws; franchises are subject to the same laws that govern other businesses. For example, franchise agreements are produced under regular contract law and do not have to conform to any further legislation or guidelines.[35] There is some self-regulation through the British Franchise Association (BFA) and the UK Franchise Organisation. However, there are many franchise businesses which do not become members, and many businesses that refer to themselves as franchisors do not conform to these rules.[citation needed] There are several people and organisations in the industry calling for the creation of a framework to help reduce the number of "cowboy" franchises and help the industry clean up its image.[who?] On 22 May 2007, hearings were held in the UK Parliament concerning citizen-initiated petitions for special regulation of franchising by the government of the UK due to losses incurred by citizens who had invested in franchises. The Minister of Industry, Margaret Hodge, conducted hearings but resisted any government regulation of franchising with the advice that government regulation of franchising might lull the public into a false sense of security. The Minister of Industry indicated that if due diligence were performed by the investors and the banks, the current laws governing business contracts in the UK offered sufficient protection for the public and the banks.[36] United States Isaac Singer, who made improvements to an existing model of a sewing machine in the 1850s, began one of the first franchising efforts in the United States, followed later by Coca-Cola, Western Union, etc.[37] and by agreements between automobile manufacturers and dealers.[38] Modern franchising came to prominence with the rise of franchise-based food service establishments. In 1932, Howard Deering Johnson established the first modern restaurant franchise based on his successful Quincy, Massachusetts Howard Johnson's restaurant founded in the late 1920s.[39][40] The idea was to let independent operators use the same name, food, supplies, logo and even building design in exchange for a fee. The growth in franchising accelerated in the 1930s when such chains as Howard Johnson's started to franchise motels.[41] The 1950s saw a boom in franchise chains in conjunction with the development of the U.S. Interstate Highway System. In the United States, the Federal Trade Commission has oversight of franchising, rather than the U.S. Securities and Exchange Commission. The FTC administrates oversight via the FTC Franchise Rule.[42] The (FTC) Federal Trade Commission requires that the franchisee be furnished with a Franchise Disclosure Document (FDD) by the franchisor at least fourteen days before money changes hands or a franchise agreement is signed. The final agreement is always a negotiated document setting forth fees and other terms. Whereas elements of the disclosure may be available from third parties, only that provided by the franchisor can be depended upon. The U.S. Franchise Disclosure Document (FDD) is lengthy (300-700 pp +) and detailed (see Uniform Franchise Offering Circular (UFOC) for elements of disclosure), and generally requires audited financial statements from the franchisor in a particular format, except in some circumstances, such as where a franchisor is new. It must include such data as the names, addresses and telephone numbers of the franchisees in the licensed territory (who may be contacted and consulted before negotiations), estimate of total franchise revenues and franchisor profitability. Individual states may require the FDD to contain their own specific requirements, but the requirements in state disclosure documents must be in compliance with the federal rule that governs federal regulatory policy. There is no private right of action of action under the FTC rule for franchisor violation of the rule, but fifteen or more of the states have passed statutes that provide this right of action to franchisees when fraud can be proven under these special statutes. The majority of franchisors have inserted mandatory arbitration clauses into their agreements with their franchisees, some of which the U.S. Supreme Court has dealt with. There is no federal registry of franchises or any federal filing requirements for information. States are the primary collectors of data on franchising companies and enforce laws and regulations regarding their presence and their spread in their jurisdictions. Where the franchisor has many partners, the agreement may take the shape of a business format franchise - an agreement that is identical for all franchisees. Social franchises In recent years, the idea of franchising has been picked up by the social enterprise sector, which hopes to simplify and expedite the process of setting up new businesses. A number of business ideas, such as soap making, wholefood retailing, aquarium maintenance, and hotel operation have been identified as suitable for adoption by social firms employing disabled and disadvantaged people. The most successful example is probably the CAP Markets, a steadily growing chain of some 50 neighborhood supermarkets in Germany. Other examples are the St. Mary's Place Hotel in Edinburgh and the Hotel Tritone in Trieste. Social franchising also refers to a technique used by governments and aid donors to provide essential clinical health services in the developing world. Event franchising Event franchising is the duplication of public events in other geographical areas, retaining the original brand (logo), mission, concept and format of the event.[43] As in classic franchising, event franchising is built on precisely copying successful events. An example of event franchising is the World Economic Forum, also known as the Davos forum, which has regional event franchisees in China, Latin America, etc. Likewise, the alter-globalist World Social Forum has launched many national events. When The Music Stops is an example of an events franchise in the UK, in this case, running speed dating and singles events. http://en.wikipedia.org/wiki/Franchising