Section 445.509. Change in accountants.

If the independent certified public accountant   who  has   been engaged as the principal accountant to audit the franchisor's financial statements was not the principal accountant for the franchisor's most recently filed certified financial statements:

(a)   The franchisor shall furnish the administrator with a statement of the date when the current independent accountant was engaged and whether, in the 18 months preceding the engagement, there were any disagreements with the former principal accountant on a matter of accounting principals or practices, financial statement disclosure, or auditing procedure, which, if not resolved to the satisfaction of the former accountant, would have caused that accountant   to  make  reference  in connection   with   its opinion to the subject matter of the disagreement.

(b)   The franchisor shall request the former accountant to furnish the franchisor with a  letter  stating  whether  it   agrees  with   statements contained in the letter  of the  franchisor  and,  if   not,   stating  the respects in which it does not agree.

(c)   The franchisor shall furnish such a  letter   to  the    administrator, together with its own.

History: 1979 AC.