Franchise Labor & Employment

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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

Seattle Increases Minimum Wage to $15.00 Per Hour Over Several Years

Seattle, Washington has enacted groundbreaking legislation that, over several years, will phase in a $15.00 per hour minimum wage, the nation’s highest for private employers who do not contract with governmental entities....more

You Load 16 Tons, What Do You Get: A Worthless Franchise!

Despite the focus in recent years on the misclassification of employees as contractors, unfortunately, we continue to see numerous companies ranging from the Fortune 500 to startups make mistakes, albeit mostly unintentional,...more

Hospitalitas Newsletter - Spring 2014

In This Issue: - Your Grandmother Doesn’t Work for Free: Volunteer and Intern Positions Under Closer Scrutiny - Excessive Celebration – Penalty Declined - Four Crisis Management Lessons from the...more

Focused on Franchise - April 2014

FRANCHISEE 101: Terminated Franchisee Can Pursue Fraudulent Disclosure Claims - In Solanki v. 7-Eleven, Inc., a U. S. District Court in New York ruled that a terminated 7-Eleven franchisee who decided to purchase a...more

Top Six Frequently Asked Questions About the AODA for Franchisors and Franchisees

In Ontario, the Accessibility Directorate of Ontario has been increasingly active in pursuing enforcement actions against organizations that have not complied with their requirements under the Accessibility for Ontarians with...more

Franchisor Liability For Franchisee Employees: Damn Weasels

Weasel words, not epithets for employees with legal claims, are the problem. “…[C]ourts have been nearly uniform in holding that a franchisor should not be deemed to be an ‘employer’ … when plaintiff works for an...more

Focused on Franchise Law - March 2014

FRANCHISOR 101: Franchisee Not Bound by Arbitration Provision - In March 2013, Edison Subs, LLC, a Subway franchisee/transferee, filed a complaint in New Jersey against Subway and Aliya Patel (the original...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

Global Connection - November 2013

In today’s global marketplace, companies need to be informed about foreign laws and practices that impact, or may potentially impact, their businesses in the various regions they serve. This edition of Global Connection...more

Focused on Franchise Law - November 2013

FRANCHISOR 101: FRANCHISE AGREEMENT LEAVES PRETZEL FRANCHISEE TWISTED - Post-termination non-compete covenants are not always enforceable by franchisors against terminated franchisees-it depends on the state and the...more

Franchise Review Oct 2013 - Manitoba Becomes the Fourth Province to Enact Private Sector Privacy Law

On September 13, 2013, Manitoba’s Personal Information and Identity Theft Prevention Act (PIITP) received royal assent. Under the authority of the Manitoba Ombudsman’s Office, this legislation, once in force, will govern the...more

Dunkin’ Donuts Franchise To Pay Nearly 200k For Failing To Pay Its Manager On A Salary Basis

After a nearly two year investigation, the USDOL is requiring a franchisee which operates 55 Dunkin’ Donuts locations throughout New Jersey and New York to pay nearly $200,000 for overtime violations. The USDOL found that...more

Madison Square Garden Lawsuit May Have Far-Reaching Implications For Sports Industry

Madison Square Garden Lawsuit May Have Far-Reaching Implications For Sports Industry by Anthony Caruso on September 25, 2013 Several entertainment companies have been hit with lawsuits lately from unpaid interns...more

Focused on Franchise Law - September 2013

FRANCHISOR 101: FRANCHISOR NOT LIABLE FOR ACTIONS OF FRANCHISEE'S MANAGERS - Cortland, a former bartender, sued GECP-Sunrise, LLC, a Buffalo Wild Wings franchisee, and its franchisor, Buffalo Wild Wings, Inc., claiming...more

Federal court upholds jury finding that franchisor’s principal was employer of franchisee’s employee: 3 takeaways

A recent case out of the United States District Court for the Western District of Texas upheld a jury finding that a franchisor’s principal was the employer of a former franchisee’s employee, despite the fact that the...more

Six Lessons for Franchisors on Avoiding Liability Under Title VII

Restaurant franchisor Buffalo Wild Wings, Inc. (BWW) and Buffalo Wild Wings International Inc. were sued in Arizona's federal district court on charges of Title VII violations....more

How Franchise Systems Can Minimize Risks of Labor Violations

No one enjoys being the center of attention when that attention is coming from federal regulators. Yet that’s where franchise systems have found themselves of late – especially in the hospitality sector, which accounts for a...more

Oh Thank Heaven – The Saga Of 7-Eleven And Franchising Under The FCPA

Earlier this week, Jim McGrath, writing in his Internal Investigations Blog, posted a blog entitled “Human Trafficking Concerns for 7-Eleven in Wake of Payroll Scam”....more

The GPMemorandum, Issue 168

In This Issue: - Court Finds Employee’s Wage And Hour Claim Falls Within Arbitration Provision Of Online Employment Application: A federal court in Illinois found that an arbitration agreement in a...more

IFA Legal Symposium Report

For our readers who did not attend the early May International Franchise Association Legal Symposium held in Washington, we pass along these observations...more

Franchising Newsletter – April 2013

Overview - There have been several franchising developments since our last update in February. This edition discusses: - minimising the risks when marketing through social media - comments from...more

Franchise Review - April 2013: Frequently Asked Questions

Are there risks for a franchisor that is involved in a franchisee’s employment practices? Yes. A franchisor’s involvement in a franchisee’s employment practices could result in the franchisee being considered an...more

Franchising in Quebec - April 2013

Bill 14 Amending the Charter of French Language: The Implications for Québec SMEs - On December 5, 2012, the National Assembly of Québec introduced Bill 14, an Act to amend the Charter of the French language, the...more

Fourth Circuit Sends Franchisee To Individual Arbitration, Expands Application Of Concepcion

The Fourth Circuit issued a bold new arbitration decision last week, sending a putative class of shuttle drivers to arbitration while expanding its application of SCOTUS’ Concepcion decision beyond cases involving federal...more

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