News & Analysis as of

Franchises

Failure to Follow Franchising Disclosure Laws Isn't Necessarily Unfair Trade Practice

by Baker Donelson on

The recent Cooper v. Primary Care Solutions considered, among other things, franchising law in the context of the Louisiana Unfair Trade Practice Act (LUTPA), which punishes unfair and deceitful conduct in the conduct of...more

How did U.S. retailers perform over the holiday season?

The retail and restaurant winners and losers from the holiday season in the United States have been revealed in analysis published by Thomson Reuters on Eikon and Lipper Alpha Insight....more

Food & Beverage Litigation Update | February 2018

Cooke Aquaculture Fined $332,000 For Puget Sound Salmon Pen Collapse - The Washington Department of Ecology has reportedly fined Cooke Aquaculture $332,000 for violations of state water quality laws related to a net pen...more

Franchisor 101: Copycat Restaurant Shutdown

by Lewitt Hackman on

A registered trademark is a valuable corporate asset and can be a significant part of a company's worth. A franchisor has an affirmative legal duty to police use of its mark by licensed franchisees and also third-party...more

Federal Court Reinforces That Franchisors Should Control Advertising to Ensure Uniformity

by Pepper Hamilton LLP on

An Illinois federal judge recently found that a franchisor has the absolute right to control its franchisees’ advertising of the products and services offered under a franchise. Lokhandwala v. KFC Corp., No. 17-cv-6394 (N.D....more

II-27 - Our 1st Anniversary Special: Bringing Back Our Inaugural Guest to Discuss What Was and What Will Still Be With President...

by Cozen O'Connor on

Happy Anniversary! This podcast started one year ago today on February 1, 2017 with Howard Schweitzer prognosticating about what employers can expect with a new President Trump Administration. One year to the day, Howard...more

Opps. How To Fix A Franchise Registration Defect In California!

by Fox Rothschild LLP on

Maybe you are an international company with a successful brand that sold a master franchise or area representative right in California without knowing the robust state franchise registration laws. Maybe you are an...more

No-Hire And No-Solicit Covenants Could Be Overcooked

by Fox Rothschild LLP on

Many franchise agreements contain a provision that restricts a franchisee from hiring or soliciting the employees of the franchisor or other franchisees. A class action lawsuit that was recently filed in the Eastern District...more

ABA Forum Takeaway: Will The Trump Era Mark The End Of Franchise Regulation?

by Fox Rothschild LLP on

As we head into Tuesday night’s State of the Union Address, our thoughts at Fox Rothschild return to last year at the ABA Forum on Franchising Annual Meeting in Palm Desert, California. One of the most interesting seminars...more

Food & Beverage Litigation Update | January 2018 #3

House Panel Questions FDA Officials on Food-Recall Audit - One day after the U.S. Food and Drug Administration (FDA) issued draft guidance on proposals to expedite product warnings and recalls, FDA and other health...more

What does the relaxation of foreign ownership rules in the UAE mean for franchising?

by Dentons on

The Cabinet of Ministers of the United Arab Emirates (UAE) recently issued Federal Law No. 18 of 2017, which amended certain provisions of the UAE commercial companies law (Federal Law No. 2 of 2015) (the CCL). The new law...more

Breaking News: Immigration Agents Raid Over 100 7-Eleven Stores, Warning All U.S. Employers to Prepare for Random Immigration...

Hundreds of Immigration & Customs Enforcement (ICE) agents walked into over 100 7-Eleven stores throughout Los Angeles—without any notice or warning. No, the ICE agents were not buying the famous 7-Eleven Slurpee; rather,...more

Graphic Packaging Corporation v. Hegar: Texas’ Single-Factor Franchise Tax Apportionment Remains Mandatory

by K&L Gates LLP on

The Texas Supreme Court recently held that taxpayers may not use the Multistate Tax Compact’s three-factor formula to apportion their Texas franchise tax base ? i.e., their “margin” ? in calculating their Texas franchise tax...more

SBA to Ring In New Year with New Franchisor Requirements

by Davis Wright Tremaine LLP on

Effective January 1, 2018, franchisors that wish to help their franchisees qualify for loans backed by the U.S. Small Business Administration (SBA) must be listed on the SBA’s new “Franchise Directory.” SBA-guaranteed small...more

NLRB Acts Swiftly to Overturn Multiple Pro-Labor Decisions From Obama Era

It did not take long for the National Labor Relations Board to act on the advice of its new general counsel and upset multiple precedents put in place by the prior majority Democratic board. In a series of 3-2 decisions, the...more

Republican Majority at NLRB Brings Important Pro-Employer Decisions

by Genova Burns LLC on

The recent, temporary Republican majority at the NLRB brought several important changes to Board decisions issued during the Obama Administration. In early December Republican appointees of President Trump briefly held a...more

Full Speed Ahead: SBA Directory May Hasten Franchisee Lending Process

by Lewitt Hackman on

As of January 1, 2018, the U.S. Small Business Administration (SBA) will begin implementing new rules that will affect franchisors, entrepreneurs wishing to join a franchise system, and lenders or CDCs (Certified Development...more

FRANCHISEE 101: Offer Too Little Too Late

by Lewitt Hackman on

A Florida federal district court found that a doughnut franchisee's failure to pay royalties and other fees constituted a material breach of contract justifying termination, even though the franchisee expressed a willingness...more

FRANCHISOR 101: NLRB: Out With the New

by Lewitt Hackman on

On December 14, 2017, the National Labor Relations Board (Board) in Hy-Brand Industrial Contractors, Ltd., 365 NLRB No. 156 (2017) expressly overruled the divisive joint-employer standard adopted by Browning-Ferris...more

NLRB Overturns Three Obama-Era Decisions on Labor-Management Relations

by McGuireWoods LLP on

In the closing days of outgoing Chairman Phil Miscimarra’s term, the National Labor Relations Board issued three major decisions reversing field on significant issues of labor-management relations and requested public comment...more

Trump’s NLRB Makes Resolutions for the New Year: Rolls-Back Standards on Handbooks and Joint Employment Status

by PilieroMazza PLLC on

In a flurry of decisions issued last week, the National Labor Relations Board (the “Board” or “NLRB”) overruled several Obama-era precedents, including decisions on handbook policies and joint employer standards. While...more

A Return to Clarity: Traditional Joint Employer Test Reinstated

by Proskauer - Labor Relations on

As we noted last week, one of the more controversial Obama-Board rulings expanding joint employer liability was overruled this past week. In a widely-predicted 3-2 decision (Miscimarra, Kaplan, Emanuel), the NLRB,...more

The NLRB Adopts New Standards for Analyzing Workplace Rules and Determining Joint-Employer Status

The recent addition to the National Labor Relations Board (the “Board”) of two new members appointed by President Trump has altered the balance of power at that agency. This change was reflected on December 14, 2017, when the...more

The Race to Change the NLRB's Joint Employer Standard Is Over. And the Winner Is . . .

by Faegre Baker Daniels on

After the National Labor Relations Board (NLRB) changed its joint employer standard in August 2015, two likely avenues to repeal that change emerged: Congress and the courts. In September of that year, congressional...more

What Restaurant Franchising Tells Us About The Future

by Fox Rothschild LLP on

Restaurant operators and their financiers often need to predict the future. The operators, mostly from franchised brands, need to adapt to changing tastes and fashion. The financiers need to assess risk before making...more

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