Restaurant Industry Reacts to Governor Signing AB 1228, Quick Service Restaurant Agreement

Sacramento, CA – The Save Local Restaurants coalition issued the following statements after California Governor Gavin Newsom signed into law Assembly Bill 1228 (Holden), the quick-service restaurant industry agreement. The bill passed the California State Legislature September 14.

A side by side comparing elements of the agreement can be found here. 

Matt Haller and Sean Kennedy, co-chairs of the coalition, offered the following statements:

“Signature of AB 1228 preserves the franchise business model in the state and solidifies the best possible outcome for workers, local restaurant owners, and brands. Commonsense has prevailed, as franchising is responsible for creating opportunities for hundreds of thousands of people to become small business owners, and this agreement eliminates the existential threats our members faced.” — Matt Haller, President & CEO, International Franchise Association

“The governor’s signature on this bill brings to an end a years-long and expensive fight over the regulation of the California quick service industry. We appreciate Governor Newsom’s efforts to bring the sides together and his show of support in signing into law the final agreement. There are significant challenges created by this law that restaurants will have to navigate, but they will do it with stable and predictable regulation that they wouldn’t have had under the FAST Act or IWC.” – Sean Kennedy, Executive Vice President, Public Affairs, National Restaurant Association

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