The bill aims to protect franchisees in Alabama by prohibiting franchisors from enforcing requirements that compel franchisees to operate on days that conflict with their sincerely held religious beliefs. Specifically, the bill states that a franchisor cannot enforce a "religious day operation requirement," require acceptance of such a requirement as part of a franchise agreement amendment, or refuse to renew a franchise agreement based on a franchisee's non-compliance with such a requirement. However, exceptions are made if the original franchise agreement explicitly includes such a requirement, if the franchisee agrees to it through an amendment, or if a new agreement expanding the franchisee's locations includes it.

Additionally, the bill provides a cause of action for franchisees who believe their rights have been violated under this new provision. If a court finds reasonable cause for a violation, it may award actual damages, attorney fees, and civil penalties against the franchisor, which can range from $10,000 for a first violation to $50,000 for subsequent violations within specified time frames. The act is set to take effect on June 1, 2026.