News & Analysis as of

Termination Clauses Franchise Agreements

Lathrop GPM

Michigan Federal Court Grants Summary Judgment Enforcing Franchise Agreement Termination and Awarding Liquidated Damages and...

Lathrop GPM on

A federal court in Michigan granted Little Caesar Pizza Enterprises, Inc.’s motion for summary judgment seeking to enforce its termination of the franchise agreements between it and franchisee S&S Pizza Enterprises, Inc....more

Lewitt Hackman

Franchisee 101: Real Estate Amendment Not Up to Interpretation

Lewitt Hackman on

A franchisee sued real estate franchisor Century 21 for a declaration whether the franchisee could end its franchise agreement early despite a provision that deleted the franchisee’s early termination right. Noting the...more

Lewitt Hackman

Franchisee 101: No Legal Cure for Serial Defaults

Lewitt Hackman on

A federal court in Michigan granted 7-Eleven’s motion for summary judgment, enforcing the franchisor’s right to terminate a franchisee with repeated defaults, even though each default had been cured. 7-Eleven’s franchise...more

Lewitt Hackman

Franchisor 101: Court Remediates Damage to Restoration Franchisor

Lewitt Hackman on

A federal court in Nashville granted summary judgment on breach of contract claims in favor of a damage restoration franchisor’s lawsuit with a former California franchisee. A Servpro franchisee had a territory in Los...more

Lewitt Hackman

FRANCHISEE 101: Cannabiz Accounting

Lewitt Hackman on

Tax service franchisor, H&R Block, was recently vindicated in having terminated a franchisee for violating an in-term non-compete covenant. A United States District Court granted the franchisor summary judgment in Devore v....more

Davis Wright Tremaine LLP

The New California Franchise Relations Act: A Game Changer for Franchisors Operating in California

California will notch another franchise regulatory distinction come January 1, 2016: home to the toughest franchisee-protection law in the nation. On October 11, 2015, Governor Jerry Brown signed a bill amending the...more

Baker Donelson

Use of Customer Survey Data Upheld in Hotel Franchise Terminations

Baker Donelson on

In most cases, courts and state legislatures have made it more difficult for franchisors to terminate franchise agreements. However, one federal court in New York recently upheld the use of negative guest satisfaction surveys...more

Lewitt Hackman

FRANCHISEE 101: Nice Try Mr. Franchisee

Lewitt Hackman on

In Fantastic Sam's Salons, Corp. v. Moassesfar, a federal court in Los Angeles denied a motion by former franchisees to dismiss Fantastic Sam's claims for breach of contract and trademark infringement based on the contractual...more

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