Questions: Which of the following statements are true? Franchises may be issued by the federal government. Franchises have a 15 year legal life as defined by federal law. Brand labels are trademarks that cannot be franchised. Franchises may be issued by private businesses.

The answer is: Franchises may be issued by private businesses.

Let's analyze each statement:

1. Franchises may be issued by the federal government.

   • This statement is incorrect. Franchises are typically issued by private businesses, not by the federal government. The federal government may regulate franchises, but it does not issue them.

2. Franchises have a 15 year legal life as defined by federal law.

   • This statement is incorrect. There is no federal law that universally defines the legal life of a franchise as 15 years. The duration of a franchise agreement can vary widely and is typically determined by the contract between the franchisor and the franchisee.

3. Brand labels are trademarks that cannot be franchised.

   • This statement is incorrect. Brand labels and trademarks can indeed be part of a franchise agreement. Franchisors often allow franchisees to use their trademarks and brand labels as part of the franchise.

4. Franchises may be issued by private businesses.

   • This statement is correct. Franchises are typically issued by private businesses (franchisors) to individuals or other businesses (franchisees) who then operate under the franchisor's brand and business model.

In summary, the correct statement is: Franchises may be issued by private businesses.