Authority: IC 23-19-6-1; IC 23-2-2.5-42; IC 23-2-2.5-47; IC 23-2.5-11-6

Affected: IC 23-19-1-2; IC 23-2-2.5-1

Sec. 3. (a) Except as provided in subsection (b), "fraud", "fraudulent", "deceit", and "defraud" have the meaning set forth in IC 23-19-1-2(9).

(b) Fraud and deceit related to franchises includes:

(1) the misrepresentation in any way of a material fact;

(2) any promise or representation or prediction concerning the future not made honestly or in good faith; or

(3) the failure or omission to state a material fact necessary to make the statements made, because of the circumstances under which they were made, not misleading.

(Securities Division; 710 IAC 6-1-3; filed Jan 12, 2026, 4:22 p.m.: 20260211-IR-710250231FRA)