Legal
Looking for answers to pressing legal questions about franchising? What’s keeping you up at night? Federal, state, and local laws affecting everything from minimum wage to employee scheduling are critical to managing your business successfully. Find what you need to know about today’s legal issues from top franchise attorneys.
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Litigation is America's fastest growing business because plaintiffs have everything to gain and nothing but a few hours to lose, says Hillel Presser, author of Financial Self-Defense (Revised Edition).
- Multi-Unit Franchisee
- 4,595 Reads 1 Shares
Emerging franchisors generally come to the table with an entrepreneurial burn that can light up a room.
- Michael H. Seid
- 2,131 Reads 1,023 Shares
Franchisors traditionally include liquidated damages provisions in their franchise agreement.
- Anthony Calamunci
- 4,165 Reads 201 Shares
Until recently, a franchisee was considered an independent business operator doing business in the style, under the trademark, and in the name of the franchisor. However, district court filings by franchisees in Massachusetts, Minnesota, Pennsylvania, and California are pushing the boundaries on the franchisor/franchisee relationship.
- Jim Mulcahy
- 11,890 Reads 6 Shares
Franchise agreements typically give the franchisee an option to renew, but renewal is often conditioned on the franchisee's execution of the franchisor's "then-current" form of franchise agreement.
- Scott C. Walton
- 2,742 Reads 130 Shares
In what can only be described charitably as a misguided undertaking, an assemblyman in California has decided that one of the few bright economic stars still shining in California--its large, strong, and relatively problem-free franchising economy--needs to be restrained.
- Michael Seid
- 2,655 Reads 1 Shares
Many companies dramatically accelerate their growth and success using public relations. PR has emerged as an effective tool to reach the ultimate consumer and franchise prospects in a myriad of industries.
- Lane Fisher
- 1,993 Reads 12 Shares
Recently, janitorial supply companies have been the subject of litigation in which the franchisees claimed that instead of being independent contractors, they were in fact employees of the franchisor.
- Richard S. Mulligan
- 2,681 Reads 117 Shares
At last fall's Franchise Leadership & Development Conference in Atlanta, nearly 150 franchisees responded to a survey conducted by MulcahyLLP about their interface with outside counsel and legal issues.
- Jim Mulcahy
- 4,864 Reads 30 Shares
When buying or selling a franchise, the last thing either party wants to think about is what happens if the relationship goes south. Litigation is expensive and distracting, and can drag on for years.
- Amy Haywood
- 4,674 Reads 375 Shares
In January 2012, ICANN began accepting applications for new top-level domain names.
- Kerry Pipes
- 5,601 Reads 77 Shares
Many entrepreneurs and business owners embrace the idea of franchising their business and leap into the franchise model with great hopes and expectations.
- Beata Krakus
- 15,513 Reads 3 Shares
Recognizing the challenges of today's retail markets, most franchisors are creating strategic solutions for their franchise systems.
- Anthony J. Calamunci
- 2,301 Reads 6 Shares
A State of Washington Appellate Court ruling (Marte v. Hernandez, May 16, 2011) demonstrates that deception can cause even blood relationships to disintegrate.
- Richard S. Mulligan
- 10,935 Reads 677 Shares
The most obvious area in franchising where the lines between consultants and lawyers frequently blur is within the professional services provided to emerging franchisors.
- Michael Seid And Kay Marie Ainsley
- 2,364 Reads 11 Shares
Recently, Groupon and LivingSocial, two leaders in daily deal website offerings, have been hit with multiple lawsuits.
- Maureen E. Mulvihill
- 44,973 Reads 29 Shares
Data breaches are common: more than 300 major breaches involving more than 100 million consumer records are reported each year.
- David Zetoony & Louise Nutt
- 5,670 Reads 1 Shares
Consumer survey results indicate that 97 percent of consumers investigate products and services over the Internet before buying.
- Kerry Pipes
- 4,371 Reads 57 Shares
Gone are the days when site selection in the QSR space meant securing a location nearest to McDonald's.
- Anthony Calamunci
- 2,708 Reads 25 Shares
Contracts with the suppliers that provide the "secret sauce," hats with logos, on-time delivery, and other key ingredients of a franchise system sometimes take the back burner compared with those agreements that drive system expansion, such as the negotiation and execution of franchise and development agreements.
- Suzie Trigg and Emma Ricaurte Harker
- 3,070 Reads 81 Shares
Through endless repetition soldiers commit to muscle memory every detail of each maneuver so they can perform without thinking in the mind-numbing chaos of battle.
- Fredric A. Cohen
- 7,308 Reads
A lawyer or doctor who acts negligently can be sued for malpractice. Many franchisees rely on the franchisor's purported expertise in running their business.
- Glenn Plattner and Shelly Gopaul
- 6,256 Reads
Online marketing, social media, and social commerce have created an environment that places an increased burden on franchise marketing departments.
- Keith Klein
- 11,082 Reads 1 Shares
The current "credit crisis" should not have to be a major obstacle for franchisors and franchisees seeking to expand their businesses. To reach an effective solution, it is necessary to examine the relationship paradigm between the lender, franchisor, and franchisee with a goal toward creating greater awareness and understanding of the objectives of all involved.
- Joyce Mazero And Emma Ricaurte Harker
- 6,795 Reads 130 Shares
One of the most difficult things to impress upon start-up franchisors is the amount of time, resources, and manpower it takes to establish a uniform system and, equally important, to monitor compliance with that system.
- Richard S. Mulligan
- 13,560 Reads 2,394 Shares
Franchise systems must stay dynamic, not static. Reduced recessionary spending demands introduction of new product assortments and pricing programs. Decreases in franchisees' financial performance mandates a product line adjustment. Whether driven by external or internal forces, every franchise system must be prepared to adapt to remain relevant, viable, and competitive.
- Amy Cheng
- 7,265 Reads 1,023 Shares
Many retailers are interested in building up new business by offering a deeply discounted "Groupon-like" gift certificate program. These programs market to local residents that, for example, for $25 they can get $50 worth of food at Fred's Pub. To be effective, the discounted certificate almost always has a short expiration date, a few weeks or months.
- Judith Rinearson
- 2,212 Reads
What is Franchise Social Media? Basically, it's more than just social media. It's the application and utilization of social media within a franchise environment. Sure, many of the same principles apply. But, franchising is different than most small business models. It's unique in many ways beyond the typical B2B or B2C model. There are specific disclosure laws that are a major part of the franchise candidate recruitment process. Even from a consumer proposition standpoint, the integrity of the entire franchise organization must be considered. And, one cannot discuss social media in a franchise environment without touching upon guidelines, policies and procedures, and brand uniformity.
- Paul R Segreto
- 17,283 Reads 2 Shares
In the previous issue, I presented observations about defects I perceived in the U.S.'s system of franchise sales regulation. The essence of my position was that having duplicative regulation at the federal and state levels adds significant costs to the regulatory system--with little improvement in the regulatory environment.
- Rupert M. Barkoff
- 7,386 Reads 5 Shares
Contract negotiations are usually about the relative value of "things." Each party seeks the highest value for their "thing" while downplaying the value of the other's "thing." Negotiations around those "things" are particularly difficult in international franchise transactions where relationships can span generations, territories can include entire countries, and the franchisor's system is at the core of the franchisee's business. In other words, the franchisee will set out to build an empire on a foundation it only borrows from the franchisor. That fact critically shapes the parties' negotiations.
- Michael Daigle
- 5,702 Reads 36 Shares
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