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Competition Franchisee

Lathrop GPM

Minnesota State Court Grants Franchisor’s Motion for Preliminary Injunction Enjoining Franchisee from Violating Post-Termination...

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A state trial court in Minnesota granted Renters Warehouse USA, LLC’s motion for a temporary injunction, and enjoined Life Property Managers, LLC (LPM) from violating its post-termination obligations and a covenant not to...more

Lathrop GPM

New Jersey Federal Court Partially Enforces Noncompete Covenant Against Former Franchisee

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A federal court in New Jersey recently granted a franchisor’s motion for a preliminary injunction, enjoining the former franchisee from using the franchisor’s marks and violating the franchise agreement’s noncompete clause,...more

Polsinelli

What is the Impact of the FTC’s Final Non-Compete Rule on Franchisors and Franchisees?

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As explained in Polsinelli’s prior alert of April 24, 2024, the FTC announced its final rule on non-compete covenants (the “Rule”) on April 23, 2024. Critically, the Rule does not prohibit non-compete agreements between...more

UB Greensfelder LLP

FTC Issues Rule Prohibiting Non-Competes

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On April 23, 2034, the Federal Trade Commission (FTC) issued a final rule intended to ban the use and enforcement of most non-compete clauses signed by workers. The new rule is not in effect yet. It will become...more

Lathrop GPM

Utah Federal Court Denies Franchisor’s Motion for Preliminary Injunction Against Competitor

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A federal court in Utah denied a requested injunction in a dispute between competitors in the gourmet cookie market. Crumbl LLC v. Dirty Dough LLC, (D. Utah Aug. 11, 2023)....more

Quarles & Brady LLP

Seventh Circuit Rejects Dismissal of Franchisee No-Poach Clause Challenge

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In Deslandes v. McDonald’s USA LLC, issued August 25, 2023, the U.S. Court of Appeals for the Seventh Circuit overturned the dismissal of antitrust claims that challenged no-poach clauses in franchise agreements....more

Mintz - Antitrust Viewpoints

Federal Trade Commission Continues Policy Initiatives by Seeking Public Comment on Franchisor-Franchisee Relationships

The Federal Trade Commission on Friday announced a Request for Information regarding “franchise agreements and franchisor business practices, including how franchisors may exert control over franchisees and their workers.”...more

Lathrop GPM

New York Federal Court Denies Franchisor’s Motion for Preliminary Enforcement of Noncompete

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A federal court in New York has denied a franchisor’s motion for preliminary injunction aimed at preventing a former franchisee from operating a competing business in the same location as its former franchised business...more

Lathrop GPM

Missouri Federal Court Denies Summary Judgment to Franchisors on Antitrust Claims

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A federal court in Missouri recently ruled that antitrust claims against four real estate broker franchisors and a trade association may proceed to trial based on evidence that the association’s code of ethics may inflate...more

Bilzin Sumberg

Eleventh Circuit Revives Putative Class Action Against Burger King for Violation of Federal Antitrust Laws Based on No-Poaching...

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Arrington v. Burger King Worldwide, Inc., No. 20-13561 (11th Cir. Aug. 31, 2022) – In October 2018, a former line cook of a Burger King franchise restaurant in Illinois, filed a class action complaint in the District Court...more

Bilzin Sumberg

Franchising Expansion in South Florida: The Risks from Money to Politics

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South Florida emerged as one of the most sought after markets coming out of the COVID-19 pandemic. People flocked to the area, purchasing valuable real estate – both residential and commercial....more

Troutman Pepper

Recent No-Poach Developments: Hold the Pickle, Hold the Dismissal — Eleventh Circuit Overturns Burger King's District Court...

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In early September, the Eleventh Circuit reversed the district court’s judgment for defendants Burger King Corporation, Burger King Worldwide, Inc., and their ultimate parent Restaurant Brands International, Inc....more

Lewitt Hackman

Franchisor 101: Trashing the Competition

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A trash collection business brought claims against a franchisor and franchisee of Smash My Trash, a mobile waste compacting brand. The business, Republic Services of Kansas City, claimed the defendants wrongfully solicited...more

Lewitt Hackman

Franchisee 101: Trashing the Competition

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In a misappropriation of trade secrets action, a franchisor sued a prospective franchisee, claiming breach of a non-disclosure agreement ("NDA") by operating a competing business. The prospective franchisee signed the NDA...more

Robins Kaplan LLP

Financial Daily Dose 12.13.2019 | Top Story: US Announces Phase One Trade Agreement With China, But No Confirmation From Chinese

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The US and China have reportedly reached an initial agreement on the “final terms of a phase one trade deal, moving both countries closer to signing a pact that” the White House originally announced in October and averting...more

Fox Rothschild LLP

Happy Holidays? More Challenges In Franchising

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It’s the holiday season, but franchise lawyers may find little in recent events to celebrate. The challenges just keep on coming! Most recently, we’ve been challenged by California’s AB5 legislation and Dynamex decision,...more

Lewitt Hackman

Franchisee 101: Injunction A-Berted

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Sandwich shop franchisor Erbert and Gerbert (“E&G”) was unable to demonstrate a “better than negligible” likelihood of succeeding on allegations that a former franchisee infringed its trade dress in establishing a new...more

Troutman Pepper

Legal Challenges to No-Poach Provisions in Franchise Agreements

Troutman Pepper on

Over the last 18 months, no-poach provisions in franchise agreements have drawn considerable attention from academics, state attorneys general, politicians, and the class action plaintiffs’ bar. Originally published in...more

Lewitt Hackman

FRANCHISEE 101: Cannabiz Accounting

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Tax service franchisor, H&R Block, was recently vindicated in having terminated a franchisee for violating an in-term non-compete covenant. A United States District Court granted the franchisor summary judgment in Devore v....more

Lewitt Hackman

Tax Franchisee Terminated For Sharing Space With CannaBiz

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In Devore v. H&R Block, the franchisor H&R Block was found to have lawfully terminated a franchisee for violating an in-term non-compete covenant, because the franchisee permitted its office manager and prior operator of the...more

Best Best & Krieger LLP

Best in Law: Is it Time to Franchise Your Business? BB&K Franchise Law Attorney Thomas O’Connell Writes About Factors to Consider...

For those looking to grow a thriving, established business, franchising offers an attractive option. But making the decision to franchise is not simple. While franchi+sing offers an avenue to cost-effective growth, any...more

Baker Donelson

District Court Protects Franchisor Against Anti-Contractual Competition in Frye

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On Valentine's Day of 2017, the United States District Court for the District of Maryland gave franchisors the legal equivalent of two dozen roses when it decided Frye v. Wild Bird Centers of America, Inc., 2017 WL 605285 (D....more

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