Okla. Stat. tit. 71, § 71-802

As used in the Oklahoma Business Opportunity Sales Act, Section

801 et seq. of this title, unless otherwise provided:

1. "Administrator" means the Administrator of the Oklahoma

Department of Securities.

2. "Advertising" means any circular, prospectus, advertisement

or other material or any communication by radio, television or other

electronic transmission, newspapers, magazines, pictures or similar

means used in connection with an offer or sale of any business

opportunity.

Oklahoma Statutes - Title 71. Securities Page 160

3. a. "Business opportunity" means a contract or agreement,

between a seller and purchaser, express or implied,

orally or in writing, wherein it is agreed that the

seller or a person recommended by the seller shall

provide to the purchaser any products, equipment,

supplies or services enabling the purchaser to start a

business and the seller represents directly or

indirectly, orally or in writing, that:

(1) The seller or a person recommended by the seller

will provide or assist the purchaser in finding

locations for the use or operation of vending

machines, racks, display cases or other similar

devices, on premises neither owned nor leased by

the purchaser or seller;

(2) The seller or a person recommended by the seller

will provide or assist the purchaser in finding

outlets or accounts for the purchaser's products

or services;

(3) The seller or a person specified by the seller

will purchase any or all products made, produced,

fabricated, grown, bred or modified by the

purchaser;

(4) The seller guarantees that the purchaser will

derive income from the business which exceeds the

price paid to the seller;

(5) The seller will refund all or part of the price

paid to the seller, or repurchase any of the

products, equipment or supplies provided by the

seller or a person recommended by the seller, if

the purchaser is dissatisfied with the business;

or

(6) The seller will provide a marketing plan.

b. "Business opportunity" does not include:

(1) Any offer or sale of an on-going business

operated by the seller and to be sold in its

entirety;

(2) Any offer or sale of a business opportunity to an

on-going business where the seller will provide

products, equipment, supplies or services which

are substantially similar to the products,

equipment, supplies or services sold by the

purchaser in connection with the purchaser's on-

going business;

(3) Any offer or sale of a business opportunity which

involves a marketing plan made in conjunction

with the licensing of a federally registered

trademark or federally registered service mark

Oklahoma Statutes - Title 71. Securities Page 161

provided that the seller has a minimum net worth

of One Million Dollars ($1,000,000.00) as

determined on the basis of the seller's most

recent audited financial statements prepared

within thirteen (13) months of an offer or sale

in accordance with generally accepted accounting

principles and audited in accordance with

generally accepted auditing standards. Net worth

may be determined on a consolidated basis where

the seller is at least eighty percent (80%) owned

by one person and that person expressly

guarantees the obligation of the seller with

regard to the offer or sale of any business

opportunity claimed to be excluded under this

division; or
ted accounting

principles and audited in accordance with

generally accepted auditing standards. Net worth

may be determined on a consolidated basis where

the seller is at least eighty percent (80%) owned

by one person and that person expressly

guarantees the obligation of the seller with

regard to the offer or sale of any business

opportunity claimed to be excluded under this

division; or

(4) Any offer or sale of a business opportunity by an

executor, administrator, sheriff, marshal,

receiver, trustee in bankruptcy, guardian or

conservator or a judicial offer or sale of a

business opportunity.

4. "Department" means the Oklahoma Department of Securities.

5. "Franchise" means a contract or agreement between a seller

and a purchaser, express or implied, orally or in writing, where it

is agreed that:

a. A franchisee is granted the right to engage in the

business of offering, selling or distributing goods or

services under a marketing plan prescribed in

substantial part by a franchisor; and

b. The operation of the franchisee's business pursuant to

such a plan is substantially associated with the

franchisor's business and trademark, service mark,

trade name, logotype, advertising or other commercial

symbol designating the franchisor or its affiliate.

For the purposes of this paragraph, "franchisee" shall mean a

person to whom a franchise is granted and "franchisor" shall mean a

person who grants a franchise.

6. "Marketing plan" means advice or training, provided to the

purchaser by the seller or a person recommended by the seller,

pertaining to the sale of any products, equipment, supplies or

services and the advice or training includes, but is not limited to,

preparing or providing:

a. Promotional literature, brochures, pamphlets or

advertising materials;

b. Training regarding the promotion, operation or

management of the business opportunity; or

c. Operational, managerial, technical or financial

guidelines or assistance.

Oklahoma Statutes - Title 71. Securities Page 162

7. "Offer" or "offer to sell" includes every attempt to dispose

of a business opportunity for value or solicitation of an offer to

purchase a business opportunity.

8. "On-going business" means an existing business that, for at

least six (6) months prior to the offer, has been operated from a

specific location, has been open for business to the general public

and has substantially all of the equipment and supplies necessary

for operating the business.

9. "Person" means an individual, corporation, trust,

partnership, limited liability company, incorporated or

unincorporated association or any other entity.

10. "Purchaser" means a person who enters into a contract or

agreement for the acquisition of a business opportunity or a person

to whom an offer to sell a business opportunity is directed.

11. "Sale" or "sell" includes every contract or agreement of

sale, contract to sell, disposition of a business opportunity or

interest in a business opportunity for value.

12. "Seller" means a person who sells or offers to sell a

business opportunity or any agent or person who directly or

indirectly acts on behalf of such person.