The FTC administers the federal franchise sales law, which requires all franchisors engaged in franchise sales in the United States to deliver a franchise disclosure document (FDD) to their prospective franchise buyers unless...more
This communication is for brand owners (franchisors, suppliers, licensors) that rely on authorized brand users (franchisees, distributors, dealers, licensees) to operate businesses identified by your brand name that...more
A year ago the California Supreme Court in Dynamex sent California businesses scrambling to justify their independent contractor arrangements under the stricter ABC Test. ...more
Effective January 1, 2018, franchisors that wish to help their franchisees qualify for loans backed by the U.S. Small Business Administration (SBA) must be listed on the SBA’s new “Franchise Directory.” SBA-guaranteed small...more
On January 20, 2016, the Wage and Hour Division (WHD) of the U.S. Department of Labor (DOL) released an “Administrator’s Interpretation” and related FAQs articulating the DOL’s new analytical framework for the existing joint...more
California will notch another franchise regulatory distinction come January 1, 2016: home to the toughest franchisee-protection law in the nation. On October 11, 2015, Governor Jerry Brown signed a bill amending the...more
10/29/2015
/ Compliance ,
Contract Renewal ,
Fair Market Value ,
Franchise Agreements ,
Franchisee ,
Franchises ,
Franchisors ,
Joint Employers ,
NLRB ,
SEIU ,
Termination Clauses ,
Wrongful Termination
CONGRATULATIONS! You’ve spent years building your business, developing a loyal following, and honing your operations into a replicable format. You own two, three or maybe ten different locations, all profitable, and...more
Franchise agreement recitals declaring your franchisee to be an independent contractor, not an employee, are not dispositive!
Until now, the spotlight has never shined so brightly on franchising and, specifically, on...more
In a move with far-reaching ramifications for all businesses that license their brands to independent contractors including franchisees, the National Labor Relations Board (“NLRB”) announced on July 29, 2014 that it has...more
8/6/2014
/ Employer Liability Issues ,
Fast-Food Industry ,
Franchises ,
Franchisors ,
Independent Contractors ,
Joint Employers ,
McDonalds ,
NLRB ,
Popular ,
Staffing Agencies ,
Temporary Employees ,
Unfair Labor Practices ,
Vicarious Liability ,
Wage and Hour
The good news for franchising is the economy is coming back. Hit hard by the 2008 economic recession, franchise indices show an uptick in new franchise concepts and pent up demand for franchises among buyers....more