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Landmark Texas Supreme Court Case Finds No “Direct Liability” for Franchisor Arising Out of Franchisee Employee’s Actions

On May 2, 2025, the Texas Supreme Court reversed a Texas Court of Appeals’ decision that had affirmed a jury’s verdict finding a franchisor directly liable to the customer of a franchisee for actions undertaken by the...more

Court Rules that the FTC Rule Banning Non-Competition Clauses in Employment Agreements is Unlawful and Order Has “Nationwide...

On August 20, 2024, the Northern District of Texas in the case of Ryan, LLC v. Federal Trade Commission granted summary judgment to the Plaintiff Ryan, LLC, enjoining the FTC from implementing its rule banning non-compete...more

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

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

Franchise Issues Arising Out of the Upcoming Employer Mandates of COVID-19 Vaccinations

On September 9, 2021, President Biden announced through a COVID-19 Action Plan that his administration is requiring many employers to mandate their employees be vaccinated against COVID-19. The announcement covered federal...more

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