Indirect Franchise Fee

Section 200 Section 200.108  Indirect Franchise Fee An indirect franchise fee within the meaning of Section 3(14) of the Act is present despite the bona fide wholesale or retail price exceptions if the buyer is required to purchase a quantity of goods so unreasonably large that such goods may not be resold within a reasonable time.  What constitutes a reasonable time is determined by the price, markup, consumer demand, location of product suppliers and seasonal demand variations.