Secretary, Federal Trade Commission
Room 159,
Sixth Street and Pennsylvania Avenue, N.W.
Washington, D.C. 20580

RE: 16 CFR Part 436

Dear Secretary:

Pursuant to a bulletin issued regarding the above mentioned FTC Rule change, as a Kentucky Fried Chicken Franchisee and a member of the American Franchisee Association I would like to offer the following comments.

I believe that it is in the best interest of free enterprise and small business that the FTC prohibit franchisors from:

-requiring outgoing franchisees to sign confidentiality statements or gag orders;

-requiring current, renewing and outgoing franchisees to sign general releases and waivers;

-requiring prospective and renewing franchisees to agree to the venue and applicable law of the franchisor's home state;

-requiring prospective and renewing franchisees to give up their rights to a jury trial by mandating arbitration;

-requiring franchisees to sign contracts that contain integration clauses which specifically allow franchisors to avoid the Franchise Rule or state law; and

-requiring franchisees to sign post-term covenants not-to-compete.

These provisions clearly violate the spirit of federal and state due process constitutional law. I would also be in favor of eliminating the FTC Franchise Rule. I support the provision that would require the franchisor to disclose earnings information prior to investing in a Franchise.

Very truly yours,

Nick Iuliano
2140 41st Avenue #200
Capitola, CA 95010
(408) 476-1990