RECENT POSTS
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
Franchise 101: Liquidated Damages in 30 Minutes or Less; and The Price is Right: What Payments Establish a Franchise Relationship?
Franchisor 101: Liquidated Damages in 30 Minutes or Less A Michigan district court held a franchisee breached its obligations under its franchise agreements and upheld the liquidated damages clause in the agreements. Little Caesar Enterprises,
Feds Mandate Legal Entity Reporting
As of Jan. 1, 2024, the Corporate Transparency Act goes live. The CTA creates a national database of information concerning individuals who, directly or indirectly, own a substantial interest in, or hold substantial control over,
Franchise 101: The Secret is Not in the Dough; and An UnBakeable Non-Compete
Franchisor 101: The Secret is Not in the Dough A Utah federal judge denied cookie franchisor Crumbl an injunction preventing its competitor, Dirty Dozen, from opening new locations while litigation between the two franchisors was
Hot Out of the Oven: Fast Food Council to Be Reinstated
Last year the California Legislature enacted Assembly Bill 257, with a declared purpose of improving the terms and conditions of employment of fast food workers who, according to the bill, “are the largest and fastest
California to Invalidate Out of State Non-Compete Agreements
A new California law (Senate Bill 699) expands a prohibition on non-compete agreements beyond state lines. Current law (Business and Professions Code Section 16600), provides that every contract that restrains anyone from engaging in a
Franchise 101: A Broad Brush Addendum; and Blown Dry by the Competition
Franchisor 101: A Broad Brush Addendum A Virginia district court dismissed a lawsuit filed by 360 Painting, a franchisor of residential and commercial painting services, concluding an addendum to the parties’ franchise agreement precluded 360
California Increases State Minimum Wage
The State of California’s minimum wage is set to increase to $16 per hour (an increase of $0.50 from the current minimum wage of $15.50), on January 1, 2024. The state minimum wage will apply