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HTMLNo Cure Opportunity Required Where Auto Dealer's Breach is Incurable
Lisa M. Gonzalo, Dennis R. LaFiura; Day Pitney LLP;
Legal Alert/Article
May 22, 2013, previously published on May 17, 2013
Many state motor vehicle dealer statutes require that franchisors provide dealers with an opportunity to cure contractual breaches prior to implementing terminations. The question of whether such a statutorily-mandated cure provision required a motor vehicle franchisor to provide a dealer with an...


HTMLOhio Franchisors -- Is Your Liquidated Damages Clause Enforceable?
Scott N. Opincar; McDonald Hopkins LLC;
Legal Alert/Article
May 22, 2013, previously published on May 17, 2013
On October 31, 2012, the United States District Court for the Southern District of Ohio denied a franchisor’s demand for liquidated damages against two franchisees. The case, Leisure Systems, Inc. v. Roundup LLC, provides guidelines for determining whether liquidated damages clauses are...


HTMLNew Hampshire Supreme Court Holds Settlement Unenforceable Under Anti-Waiver Provisions of State Motor Vehicle Franchise Law
Paul J. Halasz, Nancy Todaro; Day Pitney LLP;
Legal Alert/Article
May 22, 2013, previously published on May 21, 2013
State motor vehicle franchise laws often proscribe agreements that purport to waive the statutory protections afforded to dealers. Thus, when a new franchise relationship is formed, a manufacturer cannot pressure the new dealer into forgoing legislative safeguards against termination or...


Adobe PDFEverything You Wanted to Know About Franchise Legislative Compliance (But Were Afraid To Ask)
Edward (Ned) Levitt; Aird & Berlis LLP;
Legal Alert/Article
May 22, 2013
Half of all the Canadian provinces, Alberta, Manitoba, Ontario, New Brunswick and Prince Edward Island, now have franchise specific legislation. Thankfully, from a franchisor’s perspective, these statutes are remarkably similar. There are differences, but they tend to be more technical in...


HTMLCalifornia Launches Campaign to Collect Taxes from Out-Of-State Entities
Loeb Loeb LLP;
Legal Alert/Article
May 20, 2013, previously published on May 2013
A common misperception is that an entity formed in a state other than California is not subject to tax by California, which is fueled by a considerable amount of advertising encouraging Californians to save taxes by incorporating out of state. In reality, where an entity is formed has no impact on...


HTMLFederal Statute Precluding Enforcement of Arbitration Clauses in Motor Vehicle Franchise Contracts Inapplicable to Snowmobile, ATV Dealer Agreements
Peter C. Gourdine, Paul J. Halasz; Day Pitney LLP;
Legal Alert/Article
May 16, 2013, previously published on May 14, 2013
Mandatory arbitration clauses are common in franchise agreements, including motor vehicle franchise agreements. Whether a manufacturer can enforce such a provision requires an analysis of competing state and federal statutes and a determination of whether the vehicles sold fall within the statutory...


HTMLProposed Legislation to Expand Growler Sales in North Carolina
M. Keith Kapp, Jennifer A. Morgan; Williams Mullen;
Legal Alert/Article
May 15, 2013, previously published on May 13, 2013
Retailers in North Carolina, including grocery stores, bars, restaurants, and specialty beer and wine shops, may soon be allowed to fill and sell growlers to customers for off-premises consumption if new legislation currently being considered by the North Carolina General Assembly goes into effect.


HTMLAttention Franchisors and Multi-Unit Franchisees
McDonald Hopkins LLC;
Legal Alert/Article
May 15, 2013, previously published on May 8, 2013
Since the Affordable Care Act (ACA) was signed into law in March 2010, small business owners, particularly franchisors and multi-unit franchisees, have been wary of the effects of its implementation on their businesses. One major concern has been the economic effect of the so-called “Employer...


HTMLOntario Court of Appeal Provides Guidance on the Definition of "Franchisor’s Associate"
McCarthy Tetrault LLP;
Legal Alert/Article
May 13, 2013, previously published on May 6, 2013
A recent decision of the Court of Appeal for Ontario (ONCA) helps define the concept of "control," as it relates to the definition of a "franchisor’s associate" in the Ontario Arthur Wishart Act (Franchise Disclosure), 2000 (Act).


HTMLU.S. to Cut Automotive Tariffs as Japan Enters TPP Talks
Christopher M. Swift; Foley & Lardner LLP;
Legal Alert/Article
May 7, 2013, previously published on May 6, 2013
On April 24, 2013, Acting U.S. Trade Representative (“USTR”) Demetrios Marantis formally notified Congress that the United States plans to include Japan in Trans-Pacific Partnership (“TTP”) negotiations. Coming just three days after the TTP parties accepted Japan’s...


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