What franchise legal work typically costs in NYC
FDD review for a prospective franchisee (single unit). $2,500-$6,000 flat fee at most NY franchise boutiques. Includes a marked-up FDD, a memo on material risks, and a 60-90 minute walk-through call. Worth every dollar — most franchise problems trace back to FDD terms the buyer never understood.
FDD preparation and registration for a new franchisor. $25,000-$60,000 for the initial FDD, audited financials coordination, NY registration application, and salesperson registration. Annual updates run $8,000-$20,000 per state where registration is required.
Franchise agreement negotiation (franchisee-side). $3,500-$10,000. The franchisor typically resists material changes to its standard form, but personal guaranty terms, territory definitions, transfer rights, and post-term restrictions are often negotiable for stronger candidates.
Franchise litigation (encroachment, termination, fraud). $75,000-$500,000+. Many NY franchise disputes settle in pre-litigation mediation or AAA arbitration under the franchise agreement's dispute clause.
Multi-unit franchisee acquisition or sale. $15,000-$75,000 depending on deal size and structure. Often paired with M&A and tax counsel for the broader transaction.