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|What Happens When a Franchise Agreement Ends - Part Three: Rescission|
Richard Stobbe; Field Law;
March 23, 2016, previously published on February 17, 2016In our previous posts (See Part 1 and Part 2), we reviewed restrictive covenants and cancellation rights under franchise laws. In a recent decision of the Ontario Court of Appeal, the dispute focused on the right of rescission. As the court put it, the case of Caffé Demetre Franchising Corp....
|Congress Reacts to Obama Administration Moves on Joint Employer Liability|
Tressi L. Cordaro; Jackson Lewis P.C.;
February 17, 2016, previously published on February 9, 2016The Republican leadership of a congressional oversight committee has started investigating inter-agency communications in response to the Obama Administration’s attempts to hold business franchisors accountable for labor law violations of their franchisees.
|6 Hot Issues Facing the Franchise Industry in 2016|
Scott N. Opincar; McDonald Hopkins LLC;
February 12, 2016, previously published on February 8, 2016As we begin 2016, we look to identify the major hot issues facing franchise businesses in the upcoming year. Those in the franchise industry should consider each of these potential legal pitfalls and ensure they have plans in place to face any of these issues.
|Court of Appeal Provides Guidance on Common Issues and Franchisors' Duty of Good Faith|
Bevan Brooksbank, Graham Splawski; Borden Ladner Gervais LLP;
February 4, 2016, previously published on January 26, 2016 On January 14, 2016 the Ontario Court of Appeal released its unanimous decision in 1250264 Ontario Inc. v. Pet Valu Canada Inc.1 granting summary judgment dismissing a class action brought against Pet Valu by its former franchisee and bringing the claim to an end after over six years of litigation....
|Franchise POST: The Reformation of Financial Performance Representations; Has the Time Arrived?|
Theodore P. Pearce; Nexsen Pruet, LLC;
January 5, 2016, previously published on December 21, 2015Financial Performance Representations (“FPR’s), or earnings claims, have been an integral part of franchise sales process well before the Federal Trade Commission (“FTC”) began its supervision of the franchise model. The original Federal Trade Commission franchise rule,...
|The Franchise, the FTC, Deception, and Data Protection|
Alan M. Burger; McDonald Hopkins LLC;
November 2, 2015, previously published on August 26, 2015On Monday of this week the United States Court of Appeals for the Third Circuit issued a precedential opinion in a case brought by the Federal Trade Commission against the franchisor of Wyndham hotels. The Court ruled that, for now, the FTC has stated valid unfair and deceptive claims against...
|Franchise: Damages Claims by Franchisees|
Michael Rainer; GRP Rainer LLP;
September 24, 2015, previously published on September 22, 2015Franchisees can assert claims for damages if they were knowingly forecast unrealistic turnover figures when everything was being explained to them prior to the conclusion of the agreement.
|Looking Forward by Looking Back: China’s Franchise Regulations after Eight Years|
Tao Xu; DLA Piper (Canada) LLP;
September 11, 2015, previously published on July 17, 2015On July 1 and 2, we, representing the International Franchise Association, met with China’s franchise regulators in Beijing and Shanghai. The conversation would be familiar to anyone who has been closely following the development of the franchise regulatory regime in China in the last eight...
|Beyond the NLRB’s Browning-Ferris Joint Employer Decision: What Does It Mean for Franchising?|
Kevin Harlow, Harriet A. Lipkin, Erik B. Wulff; DLA Piper (Canada) LLP;
September 11, 2015, previously published on September 10, 2015The new, expanded concept of “joint employer” is inexorably taking hold. Proponents of this new outlook are striving to apply it to franchising - part of a broader initiative to overcome the so-called “fissured employment” landscape in the US.
|Is There a Lesson from Dunkin’ Donuts for Franchisors Outside Quebec?|
M. Sandra Appel; DLA Piper (Canada) LLP;
September 10, 2015, previously published on August 21, 2015The Quebec Court of Appeal has recently upheld the 2012 decision of the Superior Court awarding substantial damages - CA$10.9 million - to former franchisees of Dunkin’ Donuts.1 Application for leave to appeal was filed with the Supreme Court of Canada on June 15, 2015; a decision is expected...