3 Key Takeaways | Is Franchising Doomed? The 2024 Version
One Month to More Effective Compliance on Business Ventures - Day 19 - Franchisor Compliance
Is Franchising Doomed?
Strategies for Negotiating with a Franchisee and Franchisor
Day 20 of One Month to More Effective Compliance for Business Ventures-Franchisor Liability
On September 5, 2024, the Massachusetts Supreme Judicial Court (“SJC”) ruled in Patel v. 7-Eleven that 7-Eleven franchisees are not employees of the franchisor under the independent contractor statute. The SJC looked beyond...more
A federal court in Michigan has granted a franchisor’s motion for preliminary injunction against former franchisees for violating the franchise agreements’ post-termination noncompete provisions. 1-800 Water Damage Int’l LLC...more
A federal court in Michigan recently granted several related franchisors’ motions to dismiss a franchisee’s claims for violations of the Michigan Franchise Investment law. Benjamin Franklin Franchising SPE LLC v. David...more
A state appellate court in Pennsylvania recently affirmed a trial court’s summary judgment ruling addressing a franchisor’s claims for indemnification in a personal injury dispute. Sunoco (R&M), LLC v. Pa. Nat'l Mut. Cas....more
A federal court in Virginia recently ruled that it had federal question subject matter jurisdiction over a Defend Trade Secrets Act (DTSA) claim, rejecting Defendants’ argument that a foreign bankruptcy proceeding stayed the...more
A federal court in Washington recently granted a motion brought by franchisor Nurse Next Door Home Healthcare Services, Inc. (NND) to compel arbitration of a Florida-based franchisee’s claims. Nurse Next Door Home Healthcare...more
In the ever-evolving landscape of employment law, a recent Massachusetts Supreme Judicial Court (SJC) opinion, Patel v. 7-Eleven, Inc., has shed light on a critical question: When is a franchisee considered an employee of the...more
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
A California federal court granted a motion to compel arbitration by retail franchisor Batteries Plus and its two executives, and dismissed a franchisee’s action alleging violations of the California Franchise Investment Law,...more
There was a time when ownership of a professional sports franchise was not regarded as a serious business venture. Owning a team, even in one of the major leagues in North America, was regarded as more of a frolic and detour,...more
Welcome to the third edition of The Leisure Law Insider! Released quarterly, we cover the latest news and developments in leisure and hospitality law, regulation, and policy. Expect content on hotels, franchising, labor and...more
If you own a business in Texas, you’ve likely encountered (for better or worse) the Texas franchise tax. The franchise tax is a tax imposed on any “taxable entity” that does business in Texas or that is chartered or...more
Mandelbaum Barrett PC secured a significant victory defending a class action lawsuit filed against Retro Fitness gym franchises throughout New Jersey. After ten years of litigation, a favorable decision from the Appellate...more
A federal district court in New Jersey recently found that restaurant franchisor Golden Corral was entitled to nearly $1.2 million in consequential damages after terminating a franchised Golden Corral restaurant....more
The FTC administers the federal franchise sales law, which requires all franchisors engaged in franchise sales in the United States to deliver a franchise disclosure document (FDD) to their prospective franchise buyers unless...more
On July 12, 2024, the Federal Trade Commission (FTC) issued a policy statement regarding franchisors’ use of contract provisions such as non-disparagement, goodwill, and confidentiality clauses. This is another example of the...more
The Federal Trade Commission (FTC) on July 12, 2024 released a policy statement warning that the use of contract provisions that prohibit franchisees from communicating with the government about legal violations are unlawful....more
On July 12, the FTC released a new policy statement, staff guidance, and an issue spotlight about allegedly unfair and deceptive practices by franchisors. The policy statement addressed the FTC’s concerns that franchisees...more
Here are curated AG and federal regulatory news stories highlighting key areas in which state and federal regulators’ decisions are having an impact across the US: •Gasoline Trading Firms to Pay $50 Million to Settle...more
On Friday, July 12, 2024, the Federal Trade Commission (“FTC”) published an analysis of the information it received in response to its Request for Information related to franchisors’ business practices, launched in March...more
On July 12, 2024, the FTC released several statements and a News Release as its first response to comments collected in response to the March 2023 Franchise Request for Information (RFI). These actions are part of the FTC’s...more
The U.S. Federal Trade Commission's (FTC) latest policy statement aims to dictate the outcome of contract negotiations between franchisors and their franchisees and to limit the potential negative impact on franchisees of...more
A federal law requires franchisor and franchisee business entities to disclose personal information and photographs of persons with ownership and control over their business....more
A federal court in New York recently ruled that an interim arbitration order was final and granted a developer’s petition to confirm the order which required the franchisor to make payments to the developer while the...more
A federal court in California recently granted a franchisor’s motion to dismiss a class action suit alleging discrimination in violation of the Americans with Disabilities Act (ADA). Garland v. Dunkin’ Donuts, LLC, 2024 WL...more