News & Analysis as of

State and Local Government Franchisors

Polsinelli

California Enacts New Franchise Broker Law

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On Sept. 24, 2024, California Gov. Gavin Newsom signed Senate Bill 919, the California Franchise Broker Law, into law. Officially titled the “Franchise Investment Law: Franchise Brokers,” the California Franchise Broker Law...more

Offit Kurman

Maryland Franchise Reform Act Introduced

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On January 31, 2025, Delegate Marc Korman of Montgomery County introduced Maryland House of Delegates Bill 992, entitled the Franchise Reform Act, which would make the first significant changes to the Maryland Franchise...more

Cole Schotz

Leveling The Playing Field For Hospitality Franchisees In New Jersey

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Just prior to Memorial Day, the New Jersey Assembly passed legislation intending to bring more balance between hotel franchisors and franchisees. As a supplement to the New Jersey Franchise Practices Act, the new legislation...more

Lathrop GPM

Minnesota Federal Court Holds Assignment of Franchise Does Not Constitute a Sale Under the Minnesota Franchise Act

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A federal court in Minnesota has dismissed a claim under the Minnesota Franchise Act (MFA), holding that a franchisor’s consent to the assignment of a franchise does not constitute a sale or an offer to sell under the Act....more

Fox Rothschild LLP

California’s Tectonic Plates Shift — Part III

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And so we come to the ultimate affront to franchising. Responding to strong lobbying efforts by the Service Employees International Union (SIEU), the California legislature passed the Fast Food Accountability and Standards...more

Fox Rothschild LLP

California’s Tectonic Plates Shift — Part I

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“California’s falling into the ocean!” Growing up in Southern California I heard that every time we had an earthquake. Usually, though, all I had to do was stand in a door jamb and wait until the shaking stopped (now not the...more

Foley Hoag LLP

Massachusetts Supreme Judicial Court Rules that Independent Contractor Test Applies to Franchisees

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On March 24, 2022, the Massachusetts Supreme Judicial Court (SJC) ruled in Patel v. 7-Eleven that the test for independent contractor status set forth in the Massachusetts independent contractor statute applies to the...more

Fox Rothschild LLP

New COVID Restrictions In Pennsylvania Hit Franchising . . . Hard

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At 4 p.m. today, Pennsylvania Governor Tom Wolf (who himself has tested positive for COVID) and Secretary of Health Rachel Levine issued new, “limited-time”, targeted COVID mitigation orders. The orders hit the franchise...more

Bradley Arant Boult Cummings LLP

Joint Employment -- Still a Conundrum

For generations of small business owners franchising serves as a successful business model. Under this paradigm a franchisor grants a franchisee a license to use the franchisor’s trademark and business concept in exchange for...more

Fox Rothschild LLP

Washington v. Washington: State Of No-Poach

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The Department of Justice backed off no-poach challenges in franchise agreements in 2019, but the state doubled down. The result? Washington state challenged a raft of no-poach/no-hire provisions in 225 franchise systems,...more

Seyfarth Shaw LLP

Ninth Circuit Expands Reach of Dynamex, Holding ABC Test Retroactive

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Seyfarth Synopsis: In 2018 the California Supreme Court issued its radical Dynamex decision, discussed in our One Minute Memo here. Now the Ninth Circuit has piled on, holding in Vazquez v. Jan-Pro Franchising, International,...more

FordHarrison

Ninth Circuit Applies Dynamex Retroactively

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In 2018, the California Supreme Court adopted the “ABC test” for determining whether workers are independent contractors under California wage orders (the Dynamex decision). For a discussion of that decision....more

Cozen O'Connor

2018 State AG Round-Up & Trends For 2019

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In 2018, the Cozen O’Connor State Attorneys General Practice reported on a variety of significant investigations and enforcement actions conducted by state attorneys general (“AGs”) through the course of the year. Here, we...more

Bricker Graydon LLP

2018 lame duck summary and 2019 budget and legislative preview

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With a new year comes a new General Assembly. Bills that the 132nd General Assembly did not pass will have to be reintroduced if legislators want to pursue those issues in the 133rd General Assembly. ...more

Cozen O'Connor

The State AG Report Weekly Update November 2018 #4

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Breaking News- Wyoming Governor-Elect Announces Appointment of Attorney General- Bridget Hill has been appointed to serve as the Wyoming AG by Governor-elect Mark Gordon (R). ...more

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