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Getting Ahead of the Legal Curve

When societal trends arise, new laws and regulations are sure to follow. Franchises have a choice of making changes as the trends evolve, or waiting until lawmakers and, perhaps, courts force their hands.

In the past year, many franchises have seen the handwriting on the wall when it comes to using trans-fats in the cooking process or allowing smoking at their locations. Although bans on trans-fats or smoking are strictly local at this point, it's clear which way the trend is headed. This has spurred many franchises to embark on or announce plans to make major, system-wide changes that go beyond current legal requirements, but are clearly driven by legal trends, as well as consumer preferences. For example, Burger King, Dunkin' Donuts, KFC, Taco Bell, and Wendy's each are in the process of eliminating the use of trans-fats on a national basis, even though only New York City has set a trans-fat limit (0.5 gram per serving, which will take effect on July 1, 2007) and only a few states are considering similar policies.

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