News & Analysis as of

Franchises Employer Liability Issues

Morgan, Brown & Joy, LLP

Supreme Judicial Court Rules That Typical Franchise Operators Are Independent Contractors, Not Employees

On September 5, 2024, the Massachusetts Supreme Judicial Court (“SJC”) held that 7-Eleven franchisees operating in a “typical” franchisor-franchisee relationship were independent contractors and not “employees” of 7-Eleven,...more

Faegre Drinker Biddle & Reath LLP

NLRB Withdraws Appeal of Joint Employer Rule Decision

Last week, the National Labor Relations Board (NLRB) withdrew its bid to save its new joint employer rule, which would have treated some entities as joint employers with their contractors or franchises, even when those...more

Parker Poe Adams & Bernstein LLP

NLRB Waves White Flag on Expansion of Joint Employer Definition

Last week, the National Labor Relations Board withdrew its appeal of a federal court decision that blocked its 2023 rule that significantly expanded the definition of joint employment under federal labor law....more

Skadden, Arps, Slate, Meagher & Flom LLP

FAQs About the FTC’s Broad New Ban on Noncompetes

When the Federal Trade Commission (FTC) issued its long-awaited final rule banning virtually all noncompete clauses between workers and employers, it also published 500-plus pages of commentary....more

Kilpatrick

3 Key Takeaways | Is Franchising Doomed (2024 Version)?

Kilpatrick on

On June 12, Kilpatrick’s Marc Lieberstein, Franchise and Licensing Partner, and Chris Caiaccio, Labor and Employment Counsel, spoke for Celesq, a leading provider of legal education, on the topic of whether franchising was...more

Polsinelli

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

Polsinelli on

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

Akerman LLP

New FTC Rule Spares Non-Compete Clauses That Bind Franchisees, But Bans Most “Worker” Non-Compete Clauses

Akerman LLP on

On April 23, 2024, the Federal Trade Commission (FTC) voted to issue a Non-Compete Clause Rule that would ban most non-compete clauses in agreements between businesses and their “workers.” The final rule will take effect 120...more

UB Greensfelder LLP

FTC Issues Rule Prohibiting Non-Competes

UB Greensfelder LLP on

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

Seyfarth Shaw LLP

Texas District Court Invalidates the NLRB’s Joint Employer Rule

Seyfarth Shaw LLP on

Last Friday, March 8, 2024, the United States District Court for the Eastern District of Texas struck down the National Labor Relations Board’s (“NLRB”) 2023 Joint Employer rule (“2023 Rule”) finding that it was both...more

Hinckley Allen

Federal Court Invalidates NLRB’s Joint Employer Standard

Hinckley Allen on

Update: As we indicate below, the NLRB’s final rule regarding the standard to determine joint-employer status under the NLRA was met with a challenge in the court system, and on March 8, 2024, just days before the applicable...more

Ballard Spahr LLP

Texas Court Strikes Down NLRB Joint Employer Rule

Ballard Spahr LLP on

On March 8, 2024, a Texas federal district court vacated the National Labor Relations Board (“NLRB” or “the Board”) 2023 joint employer rule (“2023 Rule), and restored the 2020 joint employer rule (“2020 Rule”)....more

Polsinelli

Federal Court Strikes Down NLRB’s Expansive “Joint Employment” Standard

Polsinelli on

On the eve of its going into effect, a federal court struck down the expansive joint-employment standard announced by the National Labor Relations Board (“NLRB” or “Board”) last fall. At issue is who may be considered a...more

CDF Labor Law LLP

NLRB’s New Joint Employment Rules Struck Down By Federal District Court

CDF Labor Law LLP on

In October 2023, the National Labor Relations Board (NLRB) issued its new Final Rule addressing and expanding the proper standard for determining joint employment status under the National Labor Relations Act (NLRA). This was...more

Parker Poe Adams & Bernstein LLP

Federal Court Delays Effective Date of NLRB Joint Employer Rule

Last week, a Texas federal court extended a temporary ban on implementation of the National Labor Relations Board’s joint employer rule until March 11. The rule was originally effective in December, but the NLRB delayed the...more

Whiteford

Employment Law Update: NLRB News You Should Know - THE JOINT EMPLOYER RULE ON HOLD, AGAIN

Whiteford on

In October 2023, the NLRB finalized its Joint Employer Rule (the Rule), which was slated to become effective February 26, 2024. The Rule would expand when franchisors, staffing company users and other placement firms with...more

Miller Nash LLP

New NLRB Rule Significantly Broadens Joint Employer Definition

Miller Nash LLP on

In yet another significant reversal, the National Labor Relations Board (NLRB) enacted a critical change in how it interprets the National Labor Relations Act (NLRA). On October 26, 2023, the NLRB released its final rule...more

Holland & Knight LLP

NLRB Adopts, Then Extends Deadline for New Joint Employer Rule

Holland & Knight LLP on

The National Labor Relations Board (NLRB) on Oct. 26, 2023, issued a new rule that significantly expands who qualifies as a joint employer under the National Labor Relations Act. Under the new rule, which rescinds the prior...more

Gray Reed

Double Trouble: NLRB Rule Change Increases Joint Employer Risk

Gray Reed on

Effective December 26, 2023, the National Labor Relations Board (NLRB) is changing one of its rules to make it easier to characterize two businesses as joint employers and potentially making one business unexpectedly liable...more

Hogan Lovells

U.S. NLRB makes it more likely to deem companies as joint-employers

Hogan Lovells on

The National Labor Relations Board (NLRB or the Board) issued its final rule on the latest standard for joint-employer status on October 26, 2023, with an effective date of December 26, 2023. Joint-employer status is crucial...more

Akerman LLP - HR Defense

What’s Mine is Yours and What’s Yours is Mine: The NLRB’s New Joint Employer Rule Vastly Expands Joint Employer Status

Do you know who your employees are? It seems pretty simple – those individuals on your payroll whose employment you control and supervise, right? Not so fast, says the National Labor Relations Board (NLRB or Board)....more

Clark Hill PLC

Come Together Now: The NLRB Issues Final Rule on Joint Employers

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In a final regulation released on Oct. 26, the National Labor Relations Board (the “Board”) again redefined the concept of joint employment, this time expanding the definition and, as a result, also expanding the potential...more

Lowndes

New NLRB Rule Spells McTrouble for Some Employers

Lowndes on

The National Labor Relations Board (NLRB) has published a final rule regarding the Standard for Determining Joint-Employer Status under the National Labor Relations Act (NLRA). This significant development clarifies how two...more

Foley & Lardner LLP

NLRB Issues Final Rule on Joint-Employer Status

Foley & Lardner LLP on

On October 26, 2023, the National Labor Relations Board (NLRB or “the Board”) issued its long-awaited final rule (“New Rule”) addressing the standard for determining joint-employer status under the National Labor Relations...more

ArentFox Schiff

How Low Can You Go? Labor Board’s Final Joint Employer Rule Sets Exceedingly Low Bar for Assessing Joint Employer Liability

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It’s back . . . like a bad penny or another season of “Bachelor in Paradise.” Last week, the National Labor Relations Board (NLRB or Board) announced the return of its new and expanded “BFI standard” for determining “joint...more

Vedder Price

NLRB’s New Joint Employer Test Significantly Expands Circumstances Under Which Separate Entities Will Be Deemed Joint Employers

Vedder Price on

On October 26, 2023, the National Labor Relations Board (“NLRB” or “Board”) issued its long-awaited final rule establishing a new standard for determining when two employers are joint employers under the National Labor...more

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