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AAHOA backs national push to pass American Franchise Act
The hotel-owners association joins more than 100 groups urging Congress to adopt a unified joint-employer standard.
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Anushka Pathak - Thu, 11, Dec 2025
- 15:07 EST
- 14
Logo of Asian American Hotel Owners Association (AAHOA) / Courtesy: @AAHOA/X
The Asian American Hotel Owners Association (AAHOA) has joined a national coalition urging Congress to pass the bipartisan American Franchise Act.
The legislation, H.R. 5267, aims to bring long-needed clarity to the joint-employer standard that has shifted repeatedly across presidential administrations.
The organization, which is primarily made up of Indian-Americans, signed a coalition letter to Representatives Kevin Hern and Don Davis, led by the International Franchise Association, urging them to support the updated version of the bill.
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The organization supports the revised draft expected to advance in Congress—an updated version negotiated in partnership with franchisee associations, attorneys, and IFA legal counsel. The group argues the new framework would reduce uncertainty and risk created by years of shifting interpretations of joint-employer rules.
AAHOA chair Kamalesh Patel said hotel owners have spent more than a decade facing the consequences of regulatory instability. “For more than a decade, AAHOA members have shouldered the consequences of an unstable joint-employer framework—higher legal exposure, rising costs, and hesitancy from lenders and investors,” he said.
He added that the updated draft “brings clarity to what does—and does not—cross the line into joint-employer territory” and prevents franchisors from retreating from support under the pretext of legal risk.
AAHOA president and CEO Laura Lee Blake said the industry needs a consistent regulatory environment to sustain growth. “AAHOA members rely on a predictable regulatory environment to grow their businesses and create jobs, yet they’ve endured years of regulatory whiplash that has made long-term planning nearly impossible,” Blake said. She called the measure “a clear, commonsense standard” and a “linchpin for long-term stability.”
The association joined 69 state hotel groups and 33 national organizations—including franchisee groups, diversity organizations, and chambers of commerce—in urging lawmakers to advance the bill.
The coalition in its letter notes that the franchise sector generates about US$900 billion in economic output and supports 8.8 million jobs nationwide, underscoring its role in local economies.
AAHOA said swift congressional action would allow hotel owners to focus on core operations such as guest service, job creation, and local economic development.
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