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Adam invests in a franchise with Best Gas Stations, Inc. Best requires Adam to e

ID: 444001 • Letter: A

Question

Adam invests in a franchise with Best Gas Stations, Inc. Best requires Adam to exclusively buy Best products for every phase of the operation. Adam's best argument to challenge this requirement is that it violates

an implied covenant of good faith and fair dealing.

antitrust laws.

the Federal Trade Commission's Franchise Disclosure Rule.

the U.S. Franchise Agency's Purchase and Sale Regulations.

an implied covenant of good faith and fair dealing.

antitrust laws.

the Federal Trade Commission's Franchise Disclosure Rule.

the U.S. Franchise Agency's Purchase and Sale Regulations.

Explanation / Answer

an implied covenant of good faith and fair dealing.