A franchise is a business model where a franchisor grants a franchisee the right to operate under its brand, using its system in exchange for fees and royalties. In the U.S, franchising is regulated  by the FTC franchise rule, requiring disclosure via a franchise disclosure document (FDD), compliance with state laws, trademark protection, a well drafted franchise and adherence to antitrust and employment laws are key legal considerations. 

In addition, some states have enacted regulations that necessitate further registration. Ensuring the protection of trademarks, the drafting of solid franchise agreements and conform to antitrust and employment laws are of paramount importance. 

So, it is of the utmost importance to establish a clear understanding of the parameters that govern the various elements of the deal, namely the terms and conditions related to fees, territory, branding, procedures for dispute resolution, and mechanisms for termination. This comprehensive delineation is fundamental to avoid potential legal entanglements