Franchises

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Franchising Update - Winds of Change Arrive

In previous Franchising Updates, we reported on the Wein Review of the Franchising Code of Conduct (Code) and the Abbott Government's response to the recommendations in the Wein Report. On 2 April 2014, the Government...more

Special Commercial Lease Considerations for Franchisees

Engaging in preliminary discussions and negotiations with prospective landlords for your new franchised business can be overwhelming. There are a multitude of business and legal issues to consider. It may also be...more

The GPMemorandum, Issue 178

In This Issue: - Appellate Court Vacates Order Denying Franchisor’s Motion For Preliminary Injunction; District Court Then Grants Summary Judgment To Franchisor And Enters Final Injunction: In H&R Block Tax...more

Major Amendments To Franchising Code Foreshadowed: The Australian Government Has Today Released An Exposure Draft Of The...

Stakeholders are invited to comment on the draft bill and Regulations by 30 April 2014 with the changes expected to take effect from 1 January 2015. The highlights of the amended Regulations include: Increased...more

Taking The Leap: Bringing A Foreign Brand To The United States

Increasingly, franchise concepts that begin in one country soon find that expansion involves not only domestic growth, but also development in other jurisdictions including the United States. Over the past decade, advances in...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

Top franchise cases of 2013

1. In Hanley v. Doctors Express Franchising, LLC, a former franchisee of the Doctors Express franchise system sued Doctors Express, the franchisor, and Rhino 7, a broker involved in the franchise sale, asserting that the...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

Warranty Retail Rate Reimbursement:To Surcharge or Not to Surcharge, That is the Question

Pennsylvania’s dealer franchise protection law, the Board of Vehicles Act (Act), was recently amended effective December 31, 2013. Through the diligent efforts of PAA, the amendments to the Act include...more

Expanding Smart: Is Franchising Right For Your Restaurant Concept?

The franchise model can offer restaurateurs plenty of upside, which is precisely why franchise restaurants blanket the country. As growth vehicles go, however, franchising works better for some concepts than for others. Is...more

Ownership Of Competitive Franchise Systems: Risks And Rewards

Franchise systems have been, and continue to be, sought-after investment and acquisition targets. As a result of this, the demand for ownership of franchise systems often exceeds supply. In fact, there has been almost a...more

California Continues Crackdown on 1031 Exchanges

During the last several years, the California Franchise Tax Board (“FTB”) has been closely scrutinizing section 1031 exchanges, and finding section 1031 exchanges to be a fruitful area for state tax audits. While California...more

Reviewing Franchising and Business Opportunity Fundamentals

After creating a successful business model, expansion becomes the next natural step. But such growth usually requires the involvement of third parties, especially if resources are limited. There are several ways to expand...more

"Chain" versus "Independent" A View from an Operator of Independent Hotels

In recent years, the topic of "brand versus independent" has become increasingly popular. Every industry conference has a panel titled the same, numerous articles - and blogs - are being written on the topic by every...more

A Cable Franchise Transfer Toolkit for the Time Warner-Comcast Merger

A proposed transfer of control of a cable television operator or a transfer of a cable television A Cable Franchise Transfer Toolkit for the Time Warner-Comcast Mergerfranchise presents the franchising authority with a...more

Lease Considerations for Franchised Businesses

Franchised businesses pose unique leasing issues that the broker or agent should be aware of at the outset of the representation. The primary difference is that in the franchise context, you will need to satisfy your client,...more

Hotel Franchise Agreements: 8 Things To Negotiate In Your Next Franchise Agreement

Most branded hotel properties are operated under franchise agreements which are long documents with lots of fine print. They are usually presented to owners as "non-negotiable." This brand position is justified on the basis...more

The Advisor, Winter 2014 - Franchise Law Series: Part One

A “Pet Valu” franchisee in Ontario claimed that sales were declining, so the owner tried to escape her franchise agreement. After termination of the agreement, her husband established a competing “Pet Stuff” business nearby....more

Hospitality And Leisure Franchising And Industry Innovation

Introduction - In previous years this publication has given an insight into the asset light strategies of global hotel operators, an overview of some of the trends in hotel franchising and provided a brief...more

Focused on Franchise Law - February 2014

FRANCHISOR 101: Franchisor Successfully Fends Off Fraud Claims - There are circumstances when a fraud claim will not succeed against a franchisor. In Dunkin' Donuts Franchised Restaurants, LLC v. Claudia I, LLC, a...more

PA Tax Law News - February 2014

In This Issue: PA Governor's Budget Proposal Preserves Capital Stock/Franchise Tax Phase-out; Shopping Guides and Inserts; Documentation Requirements for Sales of Fuel Oil; Property Tax Notes; and PA Issues on Appeal -...more

Financial Performance Representations

On Tuesday February 11th, the Charlotte Business Franchise Network met on the 15th floor conference room at Nexsen Pruet. The attendees, representing a broad cross section of franchisors, master franchisees, and franchise...more

Franchising Update - February 2014

To begin 2014, we remind franchisors of the Government's response to the changes to the Franchising Code recommended last year. On 6 January 2014, Small Business Minister Bruce Billson advised that the Coalition advocated...more

Ten Contract Provisions That a Prospective Franchisee Should Consider Before Signing a Franchise Agreement

The saying that “love is blind” is as true in picking a franchise as in finding a soul-mate. Most prospective franchisees tend to shop franchise concepts instead of franchise agreements. They focus their search on hot...more

The GPMemorandum - Issue 177

In This Issue: - Washington Federal Court Denies Motion To Hold Defendants In Contempt Of Consent Judgment For Trademark Infringement: A federal judge in Seattle has denied a franchisor’s motion for a contempt...more

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