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AB 137 which increases certain franchise filing fees.

Legislative Changes in 2025 for Franchisors

AB 137 was signed into law by Governor Gavin Newsom on June 30, 2025. Effective July 1, 2025, the new law increases the fee for the filings under the following California Corporations Code sections:

  • 31500(b) – Registration under Section 31111: $1,865 (former fee of $675)
  • 31500(c) – Renewal under Section 31121: $1,245 (former fee of $450)
  • 31500(f) – Initial Notice of Exemption under Section 31101: $1,245 (former fee of $450)
  • 31500(f) – Initial Notice of Exemption under Section 31104: $1,245 (former fee of $450)
  • 31500(f) – Initial Notice of Exemption under Section 31106: $1,245 (former fee of $450)
  • 31500(f) – Initial Notice of Exemption under Section 31108: $1,245 (former fee of $450)
  • 31500(f) – Initial Notice of Exemption under Section 31109: $1,245 (former fee of $450)
  • 31500(f) – Consecutive Subsequent Notices under Sections 31101, 31104, 31106, 31108, or 31109: $415 (former fee of $150)
  • 31500(g) – Notice of Violation under Section 31303 or 31304: $1,865 (former fee of $675)

Other filing types not referenced above will remain the same.