Franchises

News & Analysis as of

FranCast Series: Franchisors Take Note: Broader DOL "Joint Employer" Interpretation Adds More Risk for Franchise Industry

While the franchise industry's attention has been focused on the NLRB's new and expanded joint-employer test, the Department of Labor has quietly continued its assault on what it calls the "fissured" employment landscape by...more

"A New World for Joint Employers"

A recent trend in labor and employment law is the increase in entities found responsible as employers and the simultaneous expansion of the definition of employees. This is manifesting itself through a new test for joint...more

Top 10 Developments/Headlines in Trade Secret, Computer Fraud, and Non-Compete Law in 2015

Continuing our tradition of presenting annually our thoughts concerning the top 10 developments/headlines this past year in trade secret, computer fraud, and non-compete law, here—in no particular order—is our listing for...more

[Webinar] Franchise Disclosure Compliance: The Nuts & Bolts - Canada - January 19, 1:00PM EST

Please join us for Franchise Disclosure Compliance: The Nuts & Bolts a webinar highlighting many of the “must do” or “must consider” matters for compliance with franchise disclosure legislation in Canada. ...more

California’s Latest Attack on Franchise Industry Goes Into Effect

A new California law (AB 525, effective January 1, 2016) makes it harder for franchisors to terminate defaulting franchisees, requires franchisors to buyout franchisees in some cases, and adds new burdens for evaluating...more

State Regulation of Biz Ops

26 states in the U.S. have laws that govern the sale of business opportunities, or “biz ops”. California and some other states use the term “seller assisted marketing plan” instead of business opportunity, but the substance...more

Employment Law Navigator – Week in Review: December 2015 #4

Last week was a big one for the EEOC. Among other things, the agency initiated a lawsuit against McDonald’s Corporate and a Missouri franchisee because the franchisee refused to provide a deaf applicant a sign language...more

What’s a Biz Op?

What’s a business opportunity or, as we often say, a “biz op”? The Federal Trade Commission (FTC) regulates biz op sales under its authority to regulate unfair or deceptive trade practices. The FTC’s definition of a business...more

New Law Requires Franchisors to Revise Agreement Forms Used in Australia

Australia recently enacted legislation that will extend an existing regime restricting “unfair contract terms” in consumer contracts to standard form small business contracts, which will include most franchise agreements and...more

Pizza franchisee jailed for wage violations

Most employers know that failing to pay minimum wage or overtime pay to their employees can lead to serious consequences. When employees file lawsuits claiming unpaid overtime wages, they can bring in their co-workers,...more

A Wake Up Call To Franchisors: The Big Mac Attack

In the wake of recent activity by the National Labor Relations Board (NLRB) concerning unfair labor practice charges against McDonald’s franchisees and franchisor McDonald’s, USA, LLC, coined by some as the “Big Mac Attack”,...more

FranCast Series: What does the new joint employer standard mean for franchising? Messrs. Griffin and Weil speak

In our last FranCast on this evolving topic, we surmised that the NLRB would not likely seek to impose joint employer status on conventionally structured franchise systems, despite the Browning Ferris decision and the highly...more

Franchises Act soon to become law in British Columbia: key provisions for franchisors

British Columbia’s legislature has completed the third reading of Bill 38-2015, the BC Franchises Act. Its quick movement – the bill was introduced to the legislature on October 5 - is the culmination of work that began...more

Hospitality, Food and Beverage Industry Newsletter

We are pleased to share the first edition of our Hospitality, Food and Beverage Industry Newsletter with you. This Newsletter addresses important recent legal developments affecting the hospitality and restaurant industry and...more

EEOC Nationwide Disability Discrimination Case Against Autozone to Proceed

Court Rejects Auto Parts Retailer's Request to Second-Guess EEOC Investigation - CHICAGO - A federal district court has denied a request by auto parts retailer AutoZone to limit the scope of a nationwide disability...more

Who Are My Employees?

The legal landscape for employers is changing. Led by the National Labor Relations Board (the “NLRB”), there is a growing trend to hold employers accountable, not only for their own employees, but also for the employees of...more

NLRB Discusses Joint Employment for the First Time Since Browning-Ferris

The National Labor Relations Board, in one of its first applications of the Browning-Ferris decision, gave hope to non-union contracting entities engaged in franchising and subcontracting relationships. After an extensive...more

Not Just A Union Issue: NLRB Decision Changing the Test For Joint Employer Status Affects Non-Union Employers, Too

As the National Labor Relations Board (the "Board"), traditionally the arbiter of all issues involving labor and unions, continues to broaden its reach into the world of non-union employers, it has begun to dismantle...more

The Employment Law Authority - September/October 2015

On October 16, 2015, the U.S. Department of Homeland Security (DHS) released a notice of proposed rulemaking (NPRM) concerning new rules for extending the Optional Practical Training (OPT) program for international students...more

Food and Beverage Law Update: October 2015

Labor and Employment - Plaintiff Wage and Hour Lawsuits Continue to Climb - Wage and hour litigation has become what some call the new "workplace revolution." Data from the Federal Judicial Center indicates that...more

Will the ‘joint employment’ concept take hold in Australia?

When does a person who works within a business, but isn’t on the ‘books’ of the business owner, become an employee? This issue has been litigated many times in Australia but, to date, courts have been reluctant to embrace the...more

The New California Franchise Relations Act: A Game Changer for Franchisors Operating in California

California will notch another franchise regulatory distinction come January 1, 2016: home to the toughest franchisee-protection law in the nation. On October 11, 2015, Governor Jerry Brown signed a bill amending the...more

The Contours of a Franchisor’s Vicarious Liability

In a ruling that reflects a clear understanding of the distinction between the roles of the franchisor and franchisee, the Appeals Court of Massachusetts recently held that Domino’s was not vicariously liable for the acts of...more

Federal Labor Officials Step Into the Lion’s Den

Two top federal labor officials engaged in a spirited dialog with two franchise lawyer moderators at the American Bar Association’s annual Forum on Franchising in New Orleans on October 16.  The topic: whether the National...more

Business Litigation Reporter October 2015

Goodwin Procter’s Business Litigation Reporter provides timely summaries of key cases and other developments within dedicated Business Litigation sessions and related courts throughout the country – courts within which...more

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