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Franchise 101: Delivering Timely Terminations; and Extra Cheesed Franchisee
Franchisor 101: Delivering Timely Terminations A trial judge for the United States Bankruptcy Court in Illinois denied a franchisee’s motion to enforce an automatic stay against The UPS Store (“TUPSS”), concluding that TUPSS’ termination of
Franchise 101: Pieces of the Trademark Pie; and Frozen Out of Court
Franchisor 101: Pieces of the Trademark Pie An Illinois federal district court granted partial summary judgment in a trademark dispute against Ledo Pizza System, Inc. (“System”) and Ledo Pizza Carryouts, Ltd. (“Carryouts”), a franchisor of
Franchise 101: Joint Employer? Check √; and Braking the Competing Business
Franchisor 101: Joint Employer? Check √ A Maryland federal district court denied a restaurant franchisor’s motion to dismiss, concluding that a restaurant manager at a franchised location alleged sufficient facts to support a finding that
Franchise 101: A Tinted FDD; and Tea Up Your Business Expansion
Franchisor 101: A Tinted FDD A Tennessee federal district court granted a franchisee’s request for a preliminary injunction to prevent the franchisor from enforcing noncompete restrictions under the franchise agreement while the franchisee litigated its
Franchise 101: Getting Away With Tax (Franchisor) Evasion; and Fraud Claim Muzzled by Contractual Limitations Period
Franchisor 101: Getting Away With Tax (Franchisor) Evasion A Pennsylvania federal court refused to enforce non-competition and non-solicitation covenants in a franchise agreement of a nationwide tax preparation service franchisor. The court dismissed the franchisor’s
Franchise 101: Hunka, Hunka Confusion; and Leaky Forum Selection for Roofing Franchisor
Franchisor 101: Hunka, Hunka Confusion A federal district court in Florida denied a former moving and junk hauling franchisee’s motion to dismiss claims of trademark infringement and unfair competition by franchisor College Hunks Hauling Junk
Employers: New Rule for Worker Classification Under FLSA
On January 9, 2024, the Wage and Hour Division of the United States Department of Labor announced a new rule pertaining to classifying a worker as either an employee or independent contractor under the Fair
CA Employers: Noncompetes Voided, Notify Employees
A new California law concerning employee noncompete agreements and clauses went into effect Jan. 1, 2024, and requires affected employers to take action by Feb. 14, 2024. The new law, codified at Business & Professions
Franchise 101: Court Holds Joint Liability is Fashionable; and Lack of Personal Training and Personal Jurisdiction
Franchisor 101: Court Holds Joint Liability is Fashionable A California federal district court held that judgment entered against individual owners of a franchisor entity, KEP Fortune, LLC, finding them jointly and severally liable with the
Franchise 101: Franchisor Cannot Massage its Way Out of Vicarious Liability; and Insurance Franchisor Cannot Mitigate Franchise Claims
Franchisor 101: Franchisor Cannot Massage its Way Out of Vicarious Liability A Texas court of appeals affirmed judgment in favor of a plaintiff who claimed a franchisor was vicariously liable for a franchisee’s employee’s wrongful