Meritas Capability Webinar - Beware of the “Inadvertent” Franchise

more+
less-
In upholding a $1.575M jury verdict against Mitsubishi Caterpillar Forklift for failure to comply with the termination provisions of the Illinois franchise law, the Seventh Circuit Court of Appeals cautioned:

“Legal terms often have specialized meanings that can surprise even a sophisticated party. The term ‘franchise,’.. is one of those See more +

In upholding a $1.575M jury verdict against Mitsubishi Caterpillar Forklift for failure to comply with the termination provisions of the Illinois franchise law, the Seventh Circuit Court of Appeals cautioned:

“Legal terms often have specialized meanings that can surprise even a sophisticated party. The term ‘franchise,’.. is one of those words.”

Mitsubishi is not the first, or the last, company to learn the hard way that its distributorship inadvertently fell within the purview of the franchise laws. Even well-intentioned, reputable manufacturers and suppliers, and their attorneys, are often surprised to learn that their distributorship relationships are subject to federal and/or state franchise laws. Many companies that didn’t think they were franchises in the traditional sense have discovered that their business model, methods of distribution, or grant of “licenses” brings them within the extraordinary broad reach of federal and state franchise laws. This discovery often occurs during a governmental investigation or a lawsuit brought by an unhappy “franchisee”.

State definitions of a franchise vary, and some govern certain aspects of the franchise relationship, such as termination and renewal. Failure to comply with these laws can create a nightmare scenario with substantial risks and liability.

Join us for an online webinar where you will learn:

• How to recognize a "hidden" or "inadvertent" franchise

• What the difference is between a trademark license and a franchise

• The risks to clients and attorneys for failing to comply with the state and federal franchise laws

• Practice pointers that every lawyer should know in order to avoid falling into the "franchise trap"

See less -

Embed

Copy

Other MultiMedia by MERITAS - Law Firms Worldwide


DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

© MERITAS - Law Firms Worldwide | Attorney Advertising

Written by:

more+
less-

MERITAS - Law Firms Worldwide on:

Readers' Choice 2017
Reporters on Deadline

"My best business intelligence, in one easy email…"

Your first step to building a free, personalized, morning email brief covering pertinent authors and topics on JD Supra:

Sign up to create your digest using LinkedIn*

*By using the service, you signify your acceptance of JD Supra's Privacy Policy.

Already signed up? Log in here

*With LinkedIn, you don't need to create a separate login to manage your free JD Supra account, and we can make suggestions based on your needs and interests. We will not post anything on LinkedIn in your name. Or, sign up using your email address.
×
Loading...
×
×