News & Analysis as of

Franchises

Restaurant Industry Gets Another Chance To Chime In On Menu Labeling

by Lewitt Hackman on

Franchisors in the food service industry have until January 18, 2018 to comment on the latest version of the Food & Drug Administration’s Menu Labeling Guidance. The FDA released the draft November 7th. This version includes...more

Congressional Bill: Joint Employer Liability May Become More Limited

by Jackson Lewis P.C. on

The EPL industry rightfully has been concerned about the NLRB’s and courts’ expansion of liability from the seeming employer to those with relationships to that entity. Franchisors increasingly were exposed to liability for...more

SBA to Require Franchisors Be Listed on Franchise Directory for Franchisees to Be Eligible for SBA Financing

by Snell & Wilmer on

Effective January 1, 2018, the U.S. Small Business Administration (SBA) will only process loans to fund the acquisition and development of new franchises if the franchisor is listed on the SBA’s new Franchise Directory....more

4 Top Takeaways: Use of Investigators

Kilpatrick Townsend senior counsel Chris Bussert recently presented in a workshop with Jeremy Liebman, franchise counsel at Krispy Kreme Doughnut Corporation, at the ABA Annual Forum on Franchising in Palm Springs,...more

Belgian Retail Newsletter

by McGuireWoods LLP on

European Parliament wants harmonized franchising legislation 7 NOVEMBER 2017 - In September 2017, the European Parliament passed a resolution on the functioning of franchising in the European retail sector. This...more

FRANCHISEE 101: Thirty-one Flavors of Fees (Or Just One)

by Lewitt Hackman on

Baskin-Robbins charges a dairy supplier a so-called "commercial factor" fee for the right to make and sell Baskin-Robbins proprietary ice cream to franchisees. The supplier's pricing to franchisees includes an amount equal to...more

Developments In Consumer Class Actions In The Seventh Circuit

In four decisions from the past few months, the Seventh Circuit has staked out positions on several cutting-edge consumer class action issues. See In re: Subway Footlong Sandwich Marketing & Sales Practice Litig., 869 F.3d...more

Successor Liability? Double-Check Those Assets!

by Fox Rothschild LLP on

The intersection of franchise law and general corporate law is extensive. A recent decision in the Michigan Court of Appeals (Court) highlights the importance of thoroughly understanding and considering the ramifications of...more

Part 2: Will Seattle See a New Arena?

In Part One of this series, the authors of this article summarized the history of the debate surrounding a new stadium and gave you a teaser on the Memorandum of Understanding (MOU) to renovate the KeyArena. What does this...more

Happy Halloween! Is Your Franchise System Insured For Social Engineering Fraud Claims?

by Fox Rothschild LLP on

As cyber scams become more widespread and sophisticated, social engineering fraud is quickly turning into one of the most popular way for a thief to rip-off a company using computers. Every franchise system should be asking...more

New Australian employment law changes the game for Australian franchisors

by DLA Piper on

Australia has enacted a law with potentially far-reaching joint employer implications for both Australian and American franchisors. The Fair Work Amendment (Protecting Vulnerable Workers) Bill 2017 could cause many of the...more

Beep: Your Hamburger is Ready

by Lewitt Hackman on

Analysts predict robots may take nearly 40 percent of U.S. jobs – particularly the ones that require lower education levels – in the next 15-20 years. The study was released by PricewaterhouseCoopers, and was based on...more

Save Local Business Act Moves One Step Closer To Limiting Joint Employer Liability

by Fox Rothschild LLP on

The U.S. House Committee on Education and the Workforce recently approved the “Save Local Business Act” (HR 3441 – Byrne). If enacted, the Act would limit joint employer liability by reversing the rule announced by the NLRB...more

Implied Covenant Of Good Faith Does Not Trump Express Terms

by Fox Rothschild LLP on

The U.S. Court of Appeals for the Third Circuit upheld a New Jersey district court’s decision that 7-Eleven did not violate the New Jersey Franchise Practices Act (NJFPA) after the franchisor terminated a New Jersey...more

Will Seattle See a New Arena?

Part One: History - July 2, 2008 lives on in infamy—when the City of Seattle announced that the beloved Seattle SuperSonics would exchange its white, green, and gold jerseys for blue and white ones. The decision was the...more

Cybersecurity: New Front for Attacks on Franchise Model

by Dorsey & Whitney LLP on

Much has been written on the growing risks of data breaches and other cyberattacks, especially after the massive security breach at Equifax in September 2017. Recent cases holding franchisors liable for franchisees’ data...more

Q&A with Scott and Celia Catlett - Insights From the Restaurant Industry

by King & Spalding on

In this edition of the Franchise & Hospitality newsletter, we open with an interview of Scott and Celia Catlett. Scott is the Vice President and Deputy General Counsel at YUM! Brands, Inc. (the owner of the KFC, Pizza Hut and...more

Telephone Access Might Be Valid Alternative to Accessible Website, But Court Needs More

by Seyfarth Shaw LLP on

Seyfarth Synopsis: In denying Dave & Buster’s motion to dismiss and for summary judgment, a federal judge said that telephonic access might be an alternative to having an accessible website, but cannot decide until the...more

Food & Beverage Litigation Update | October 2017 #2

by Shook, Hardy & Bacon L.L.P. on

Chicago Repeals SSB Tax After Two Months of Enforcement - Chicago officials have voted to repeal a sugar-sweetened beverage (SSB) tax approved in November 2016 by the Cook County Board of Commissioners but delayed by a...more

Committee Approves Save Local Business Act – Redefining Joint Employer Liability

Wednesday, the U.S. House Committee on Education and the Workforce approved the “Save Local Business Act” (H.R. 3441 – Bryne), legislation that would amend the National Labor Relations Act and the Fair Labor Standards Act to...more

Sonic Latest Food Chain to Suffer Credit Card Breach

After being notified of “unusual activity” on credit cards by its credit card processor, Sonic Drive In has confirmed that it is working with forensic experts and law enforcement on a potential credit card breach. It has not...more

Accidental Franchise = Potential Lawsuits, Fines + Other Penalties

by Lewitt Hackman on

Business owners looking to expand may leave themselves vulnerable to several obvious losses, including those related to finance, brand identity, and customer loyalty. Resources, including exemplary human resources, are...more

Data Privacy + Cybersecurity Insider - October 2017

by Robinson & Cole LLP on

McAfee Report Lists Health Care Sector as Most Targeted Industry for Cyber-Attacks - In its cybersecurity incident report outlining vulnerabilities for the second quarter of 2017, security firm McAfee lists the health care...more

Franchising in Saudi Arabia: top tips for navigating the Kingdom's regulatory framework

by DLA Piper on

The Kingdom of Saudi Arabia (KSA) continues to present attractive propositions for international franchisors seeking to expand their business operations. Navigating the KSA's complex regulatory framework however is not...more

When a Warehouse Is a 'Place of Business' Under the New Jersey Franchise Practices Act

by Pepper Hamilton LLP on

A recent federal court opinion overlooked a plain-language requirement of the “place of business” element of a claim under the New Jersey Franchise Practices Act (NJFPA), N.J.S.A. § 56:10-1 et seq., potentially expanding the...more

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