The proposed bill amends title 44 of the Arizona Revised Statutes by adding a new chapter to regulate the relationship between franchisors and franchisees. It aims to balance the power dynamic, ensure fair dealings, and provide judicial relief for franchisees. The bill defines key terms, sets conditions for franchise agreement termination, outlines franchisor obligations upon termination or nonrenewal, and protects franchisee rights concerning the sale or transfer of a franchise. It also prohibits franchisors from restricting franchisees' rights to join trade associations and voids out-of-state venue provisions for claims related to in-state franchise agreements.

The bill applies to franchise agreements starting or renewed on or after January 1, 2024, or to indefinite franchises that can be terminated without cause. It exempts franchisee-initiated amendments that do not significantly affect their rights and responsibilities post-January 1, 2024, and lodging franchises. The bill also forbids franchisors from demanding modifications or general releases in exchange for emergency-related assistance and includes a severability clause. The act will be known as the "Franchise Investment Protection Act."