Franchise Administrative Agency

Read need-to-know updates, commentary, and analysis on Franchise issues written by leading professionals.
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Franchisors Vulnerable to Unfair Labor Practice Allegations

As expected, the National Labor Relations Board (NLRB) recently broadened the definition of joint employer.  In a 3-2 decision, the NLRB adopted the joint employment standard recommended by the NLRB’s General Counsel.  The...more

IFA Seeks OSHA Explanation of Applying a New Joint Employer Standard

The International Franchise Association (IFA) has filed a Freedom of Information Act (FOIA) request with the Occupational Safety & Health Administration (OSHA) asking for the rationale behind questions that its inspectors are...more

The NLRB Refuses to Require its General Counsel to Explain the Joint Employer Case Against McDonald's

The National Labor Relations Board continues the string of controversial moves in its unfair labor practice cases against McDonald’s. In December 2014, the NLRB’s General Counsel filed thirteen complaints naming the...more

The Competition and Markets Authority's consultation on "Competition in passenger rail services in Great Britain" - On 17 July...

On 17 July 2015, the Competition and Markets Authority (CMA) published its consultation document regarding competition in passenger rail services in Great Britain. This followed its announcement in January that it intended to...more

Do You Know Who Your Employees Are?

Employers are beginning to learn that they may have far more employees than they think. A driver for the ride sharing company Uber was considered an “employee” by the California Labor Commissioner’s Office earlier this month....more

NLRB Weighs-In on Franchise Joint Employers

In late April, the National Labor Relations Board (“NLRB” or the “Board”) General Counsel’s office issued an Advice Memorandum (“Advice Memo”) (No. 177-1650-0100, available here) addressing whether a franchisor (Freshii...more

New NLRB Advice Memorandum Offers Glimmer of Hope to Franchisors

On April 28, 2015, the National Labor Relations Board (NLRB) issued an advice memorandum addressing when franchisors can be considered “joint employers” with their franchisees for purposes of the National Labor Relations Act...more

Observations on the SEC’s Proposed Pay Versus Performance Rule

The SEC has issued a proposed rule to require companies to disclose the relationship between executive compensation and the financial performance of a company. The details of the proposed rule have been well publicized, and...more

FinCEN Seeks to Curb Trade-Based Money Laundering Through Lowered Reporting Threshold

On April 21, 2015, the U.S. Treasury Department’s Financial Crimes Enforcement Network (“FinCEN”) issued a Geographic Targeting Order (“GTO”) lowering reporting thresholds and triggering additional recordkeeping requirements...more

Guidelines for SBA Guaranteed Loans to Franchisees to Change

TODAY, APRIL 7, 2015 IS LAST DAY FOR INPUT TO U.S. SBA - The U.S. Small Business Administration has requested comments from interested parties regarding its consideration of the factors the agency deems relevant to the...more

This Week In Securities Litigation

Four SEC Commissioners addressed the annual SEC Speaks Conference, reviewing recent agency initiatives and tracing potential paths for the future. The SEC also brought another FCPA action, a misappropriation case and an...more

FRANCHISOR 101: California Increases Time for Automatic Effectiveness from 15 to 30 Business Days

A new California law has given the California Department of Business Oversight, the State's regulator of franchises, more time to review franchise registration and renewal applications, with the result that franchisors, their...more

FRANCHISEE 101: Complying with the FDA's New Menu Labeling Requirement

On November 25, 2014, the Food and Drug Administration (FDA) released final rules governing menu and vending machine labeling to implement some of the Affordable Care Act's nutrition labeling requirements. The final...more

SEC Finds Loan to Investment Adviser’s CEO a Conflict of Interest

Consulting Services Group, LLC, or CSG, was a registered investment adviser whose business included providing consulting services to public pension funds. These consulting services included recommending third-party investment...more

U.S. Government Agencies: Santa or Grinch?

Just in time for the holidays, the National Labor Relations Board (“NLRB”) and the U.S. Department of Labor (“DOL”) have delivered additional workplace protections for workers and prospective unions this month. Whether those...more

Carving Out Small

States have been vested with the responsibility to regulate the manufacture, distribution, and sale of alcoholic beverages since the repeal of Prohibition. In carrying out this authority, many states have implemented a three...more

Restaurant Franchisors: Prepare to Comply With New FDA Menu Labeling Rules

The U.S. Food and Drug Administration (FDA) released its final rules for menu labeling on November 25, 2014. The long-awaited rules stem from provisions in the Affordable Care Act (ACA), the comprehensive health care reform...more

Pecuniary Penalties Introduced For Breaches Of The Franchising Code Of Conduct

Introduction Of Civil Pecuniary Penalties - The Government has now passed legislation which will allow pecuniary penalties and infringement notices as remedies for breaches of the Franchising Code of Conduct...more

Trials Are About Truth; Consent Decrees Are About Pragmatism

I recently wrote about Judge Rakoff’s refusal to enter the SEC’s proposed consent decree in SEC v. Citigroup Global Markets, Inc., 827 F. Supp. 2d 328 (SDNY 2011) – and the shift in SEC enforcement policy that it prompted. ...more

How To Represent Prospective Franchisees And Franchisors

FRANCHISING PRIMER - I. INTRODUCTION - A. In General Franchising is a method of distribution that combines the advantages of a central specialized system with the capital and micro-management of local independent...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

Alternatives To Master Franchising: Area Development Agreements, Area Representatives And Joint Ventures

Originally published in the International Journal of Franchising Law (Volume 10 – Issue 4 – 2012). This article provides a comprehensive analysis of international franchising structures – direct franchising, exclusive...more

City of Los Angeles Waste Hauling Takes Big Step to Exclusive Franchise System

The City of Los Angeles took another step towards granting exclusive franchises for commercial trash hauling within the City, franchises that would also cover large apartment complexes. Under a plan approved by two City...more

Wage and Hour Violations

It is crucial that employers comply with state and federal wage and hour laws, including minimum wage laws. Failure to do so runs the risk of wage claims and lawsuits from employees, not to mention investigations and...more

Corporate Sustainability and Social Entrepreneurship Part Two

As a purely legal matter, corporate sustainability and social entrepreneurship require that we begin by asking the following question: Does the law of corporate governance permit social good as a primary focus and aim of...more

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