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Car Dealerships Franchisee

Lathrop GPM

Tennessee Federal Court Denies Franchisor’s Motion to Dismiss Claims of Bad Faith in Denying Relocation

Lathrop GPM on

A federal court in Tennessee denied a manufacturer’s motion to dismiss claims that it acted in bad faith and constructively terminated a dealership when it denied the dealer’s proposed relocation sites. Hyundai Subaru of...more

Seyfarth Shaw LLP

Court Rules that Rivian and Lucid May Sell Vehicles Direct to Consumers in Illinois

Seyfarth Shaw LLP on

On December 19, 2022, an Illinois state trial court issued an order dismissing, with prejudice, a complaint filed by the Illinois Automobile Dealers Association (“IADA”) and numerous individual franchised dealers against...more

Seyfarth Shaw LLP

Auto Manufacturers: Don’t Forget the Amended Franchise Rule When Considering New Business Opportunities

Seyfarth Shaw LLP on

As competition intensifies and auto manufacturers and distributors look for new ways to realize value from their brands, they and their counsel would do well to familiarize themselves with the Federal Trade Commission’s (FTC)...more

Lewitt Hackman

FRANCHISEE 101: To First Refuse, or Not to Refuse

Lewitt Hackman on

A franchisee looking to transfer assets of a franchised business may be subject to the franchisor's right of first refusal, the franchisor's option to purchase the business, or both, depending on the language of a franchise...more

Fox Rothschild LLP

Tesla “Franchisee” Thwarted in Utah

Fox Rothschild LLP on

Tesla, the electric vehicle automaker, recently lost a round in the Supreme Court of Utah. Tesla set up a wholly-owned subsidiary called “Tesla UT” that was to hold a license to sell Tesla’s cars to the public. The Utah...more

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