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Franchise 101: Court Hits Brakes on Former Franchisees; and Pandemic No Excuse for Non-Payment
Franchisor 101: Court Hits Brakes on Former Franchisees An Ohio appellate court upheld the state trial court’s decision to grant a permanent injunction against two former franchisees of an auto body shop franchise working for
California Fast Food Franchisors Targeted Again
California Assembly Bill 257, the Fast Food Accountability and Standards Recovery Act (the “FAST Act” enacted in 2022), was to become effective January 1, 2023. The FAST Act established a 10-member Fast Food Sector Council
Franchise 101: Promises to Prospectives; and Default! Default!
Franchisor 101: Promises to Prospectives A federal district court in New Jersey denied Travelodge Hotels’ motion for partial summary judgment against a former franchisee, holding there are genuine issues of fact as to Travelodge’s breach
Franchise 101: Greener Grass in a Foreign Forum; and The Ties That Won’t Bind
Franchisor 101: Greener Grass in a Foreign Forum A federal court in Maryland denied Marriott International, Inc.’s motion to dismiss plaintiffs’ action based on forum non conveniens. Plaintiffs sued Marriott and the JW Marriott hotel
Franchise 101: A Tasty Appeal; and A Window into Dispute Resolution
Franchisor 101: A Tasty Appeal The Eleventh Circuit Court of Appeals reversed a district court’s summary judgement order, granting a chocolate shop franchisor’s breach of contract and unfair competition claims. The appellate court concluded there
Franchise 101: Poked in the Eye; and Transaction Totaled
Franchisor 101: Poked in the Eye A poke restaurant franchisee in Ohio sued the franchisor for violation of the California Franchise Investment Law (CFIL) and other claims. The franchisor defendants moved to dismiss the claims.
Franchise 101: No Repairing Delayed Filing; and Forum Selection Clause is Just what the Doctor Ordered
Franchisor 101: No Repairing Delayed Filing A New Jersey federal court denied a franchisor’s motion for preliminary injunction against a franchisee due to franchisor’s 11 month delay in bringing the motion. Franchisee entered into two
Franchise 101: Transfer DQ’d; and Caught Between a Rock and a Renewal
Franchisor 101: Transfer DQ’d A federal court in Wisconsin ruled that Dairy Queen did not breach a 1952 franchise agreement with a franchisee by requiring a prospective buyer of the franchise to sign an updated
Franchise 101: All the King’s Poachers; and Subject Matter Mania
Franchisor 101: All the King’s Poachers A federal appellate court held that Burger King and its franchisees may violate Section 1 of the Sherman Act (antitrust) by engaging in concerted action when entering into “no-hire”
Fast Food Restaurants Could Disappear Fast
Assembly Bill 257, the Fast Food Accountability and Standards Recovery Act (“FAST Recovery Act,” or the “Act”) became law in California on September 5, 2022. According to the California legislature and Governor Gavin Newsom, the