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Lathrop GPM

Virginia Governor Signs Law Banning Post-Term Non-Compete Provisions in New Franchise Agreements

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On April 13, 2026, Virginia Governor Abigail Spanberger signed HB 69/SB 240 into law, which amends the Virginia Retail Franchising Act (the “Act”). This law bans the offer or sale of a franchise in Virginia containing a...more

Lathrop GPM

Federal Court Applies Florida Substantive Law Despite New Hampshire Choice-of-Law Clause and Denies Purported Franchisee’s Motion...

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A federal court in Florida recently declined to apply a choice-of-law provision in a dealership agreement between the parties on public policy grounds. MI-BOX of North Florida, LLC v. MI-BOX Florida, LLC, 2026 WL 821207...more

Lathrop GPM

Georgia Supreme Court Upholds Direct Sales Ban Under State Dealer Law, but Ties Regulatory Authority to Legislative Purpose

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The Georgia Supreme Court recently upheld the constitutionality of Georgia’s direct sales ban under the Georgia’s Motor Vehicle Franchise Practices Act but clarified that the constitutional protection afforded under the Act...more

Lathrop GPM

Ohio Federal Court Grants Summary Judgment in Favor of Manufacturer in Termination Dispute

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A federal court in Ohio recently granted summary judgment to an automotive manufacturer, finding that discontinuation of a certain line of commercial vehicles did not amount to termination of a franchise under the Ohio Motor...more

Bennett Jones LLP

No Agreement, No Conspiracy: Ontario Court Affirms Civil Conspiracy Requires a Pleaded Agreement

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Ontario appellate courts continue to underscore that civil conspiracy claims must observe principles of corporate separateness. In Cervantes v. Pizza Nova Take Out Ltd., 2026 ONSC 713, the Ontario Divisional Court reaffirmed...more

Foley & Lardner LLP

Connecticut Appellate Court Narrows Scope of Petroleum “Franchise” Protections for Gas Station Operators

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The Appellate Court of Connecticut affirmed a trial court’s judgment in favor of a petroleum distributor/lessor, holding that convenience store operators selling gasoline under commissioned agent agreements were not...more

McDermott Will & Schulte

Muddy paws? Franchisor’s unclean hands precludes full equitable relief

The US Court of Appeals for the Sixth Circuit affirmed a district court’s partial denial of a franchisor’s request for a preliminary injunction, finding that the franchisor’s inequitable conduct barred broader injunctive...more

Lewitt Hackman

Franchisee 101: The Unearthed FDD

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A California federal court denied a franchisee’s motion for summary judgment on its California Franchise Investment Law (“CFIL”) claims and denied the franchisee’s request to add new affirmative defenses....more

Lewitt Hackman

Franchisor 101: When Franchisees Comb-Out

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A Utah federal court denied a motion by Larada Sciences, Inc. (“LCA”), a franchisor of lice clinics, for a preliminary injunction preventing a former LCA franchisee, The MIH Group, LLC (“MIH”), from operating competing lice...more

Nossaman LLP

Episode Six: ABC Insights – Part 3: A Guide to Corporate Updates & Stock Transfer Applications

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In this episode of Corporate Conversations, Marco Costales, Kimberly Kamkar and Asally Adib-Samadian continue their look into the complexities of California alcohol beverage law compliance, focusing on updates and changes...more

Alston & Bird

FTC Secures Record $17 Million Settlement for Franchise Rule Violations

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Our Consumer Protection/FTC Team explains how a record-breaking Federal Trade Commission (FTC) settlement underscores the importance of transparent, accurate disclosures of franchise operations....more

UB Greensfelder LLP

Washington Enacts Sweeping Ban on Non-competition Agreements

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On March 23, 2026, Washington Governor Bob Ferguson signed into law the engrossed Substitute House Bill 1155 (ESHB 1155), a sweeping measure that bans nearly all non‑competition covenants for employees and independent...more

Offit Kurman

Continued Disparities in Joint-Employer Status Laws

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Federal law provides baseline joint‑employer standards under the National Labor Relations Act (as interpreted and enforced by the National Labor Relations Board) and the Fair Labor Standards Act (as interpreted and enforced...more

Fox Rothschild LLP

Guarding Against FTC Enforcement

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Preventable Consequences. The Federal Trade Commission has obtained a landmark $17 million settlement against Xponential Fitness, a franchisor operating popular fitness brands including Club Pilates, Pure Barre, YogaSix,...more

Baker Donelson

FTC Secures $17 Million Settlement Against Xponential Fitness for Franchise Rule Disclosure Violations

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The Federal Trade Commission (FTC) has secured a significant settlement against Xponential Fitness, Inc. and its affiliates, which sell franchises for popular fitness studio brands, in connection with alleged violations of...more

Lathrop GPM

Virginia Federal Court Finds Contractual Injunction Provision Alone Cannot Warrant Preliminary Injunction, but Permits...

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A federal court in Virginia granted in part a franchisee’s motion to dismiss the counterclaims filed by franchisor Window Gang, LLC in the parties’ dispute. Willett v. Window Gang, LLC, 2026 WL 575903 (W.D. Va. Mar. 2, 2026)....more

Fox Rothschild LLP

New Jersey Dealers: Prepare Now for April 1 Warranty Reimbursement Windfall

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New Jersey franchised auto dealers stand to gain significant increases in warranty and recall reimbursements under a sweeping new law that takes effect April 1, 2026. The Motor Vehicle Open Recall Notice and Fair Compensation...more

A&O Shearman

ExxonMobil proposes reincorporation to Texas amid growing corporate migration

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On March 10, 2026, ExxonMobil announced a unanimous recommendation by its board of directors that shareholders approve the company's reincorporation from New Jersey to Texas....more

Lathrop GPM

Ohio Federal Court Reopens Antitrust and Fraud Claims in Dispute Between Luxottica and Former Franchisee

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The U.S. District Court for the Southern District of Ohio granted in part and denied in part Brave Optical’s motion for reconsideration of the court’s earlier dismissal of its claims against Luxottica. Brave Optical Inc. v....more

Lathrop GPM

Lawsuit Dismissed and Franchisor Sanctioned After Court Finds Claims Barred by Prior Arbitration Award

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The U.S. District Court for the District of North Dakota granted a franchisee’s motion to dismiss for failure to state a claim and its motion for Rule 11 sanctions, finding that franchisor ABC, Inc. improperly attempted to...more

Lathrop GPM

Federal Court Finds No Diversity Subject Matter Jurisdiction Because Both Sides Included Foreign Entities, Dissolves TRO

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A federal court in New York recently dismissed a case for lack of diversity subject matter jurisdiction where the franchisee plaintiff and a franchisor defendant were both foreign entities, even though they both maintained...more

Lathrop GPM

Federal Court Denies Franchisee Summary Judgment on California Franchise Investment Law Claims and Rejects Untimely Affirmative...

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The Eastern District of California recently denied a franchisee’s motion for summary judgment on its California Franchise Investment Law claims and denied the franchisee’s request to add new affirmative defenses a year after...more

Lathrop GPM

Utah Federal Court Denies Franchisor’s Post-Termination Motion for Temporary Injunction Related to Non-Compete

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A Utah federal court denied a motion by Larada Sciences, Inc. d/b/a Lice Clinics of America (“LCA”) for a preliminary injunction preventing former LCA franchisee The MIH Group, LLC from operating competing lice treatment...more

Fox Rothschild LLP

NLRB Formalizes Joint Employer Rule, But Is An Upcoming DC Circuit Decision What Counts?

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Key Points - • The 2020 joint employer rule is now formally back in effect. The NLRB has officially withdrawn the Biden-era 2023 joint employer rule. • A pending D.C. Circuit challenge could reshape the joint employer...more

McDermott Will & Schulte

Joint-employer exposure limited under the NLRB’s final rule

The National Labor Relations Board (NLRB) officially reinstated the 2020 joint-employer standard in a new final rule effective February 27, 2026, limiting the risk of a finding of joint-employer status under the National...more

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