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Backlash Against Jimmy John’s Non-Compete Agreement Highlights Risks of Overzealous Business Protection Measures

The submarine sandwich franchise Jimmy John’s has come under fire recently following the publication of a broad non-compete agreement that it has allegedly required rank-and-file employees to sign. The non-competition...more

Oklahoma Chicken Express Franchiser to Pay $15,000 to Settle EEOC National Origin Discrimination Suit

Restaurants Exploited Class of Hispanic Cooks by Failing to Pay Overtime, Federal Agency Charged - OKLAHOMA CITY, Okla. - NSC Chicken, LP, dba Chicken Express, will pay $15,000 and furnish other relief to settle a...more

Restrictions in Franchise Agreements Narrowly Construed

Virginia’s public policy in favor of freedom of contract is well established. It may be most conspicuously evidenced by the Supreme Court of Virginia’s increasingly narrow construction of post-contract employment restrictions...more

Focused on Franchise Law - June 2014

FRANCHISEE 101: Unsigned Franchise Agreement Binds Franchisee's Shareholder - Texas Appeals Court recently held in Pritchett v. Gold's Gym Franchising, LLC that a Texas forum-selection clause in a Franchise Agreement...more

The GPMemorandum, Issue 176

In This Issue: - Missouri District Court Upholds Termination Of Franchise Based On Fraud: The United States District Court for the Eastern District of Missouri recently upheld a franchisor’s decision to...more

Carrols Corp. To Pay $2.5 Million to Settle EEOC Sexual Harassment and Retaliation Lawsuit

89 Women To Benefit From Settlement With World's Largest Burger King Franchisee - NEW YORK - Carrols Corporation, the world's largest Burger King franchisee, will pay $2.5 million and take significant remedial steps to...more

Recent Court of Appeal Case Reiterates the Importance of Understanding the Dangers of Exercising Too Much Control Over Independent...

Earlier this month, the California Court of Appeal found a franchisor liable for the sexual harassment by the employee of a franchisee. In Patterson v. Domino’s Pizza, LLC, the Court of Appeal held Domino’s Pizza liable for...more

Who's in Charge Here? Recent Decision May Cause Headaches for California Franchisors

California is the birthplace of the franchise business model. Today, there are approximately 62,000 independent franchisees operating in California, employing more than 1.1 million state residents. Historically,...more

Even Hooters Has Trade Secrets

Hooters Sues Competitor For Trade Secret Theft by Former Hooters Executive But Conspicuosly Omits Former Employee From Lawsuit Hooters recently sued a competitor, La Cima Restaurants, alleging widespread...more

Supreme Judicial Court Issues Two Decisions Regarding the Massachusetts Payment of Wages Act

Yesterday, the Massachusetts Supreme Judicial Court issued two decisions clarifying the scope of the Payment of Wages Act. First, in Awuah v. Coverall North America, Inc., the Court held that a company which had misclassified...more

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