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|Auto Parts Distributor Avoids Liability In Robinson-Patman Suit|
Benjamin R. Dryden, Christopher H. Grigorian; Foley & Lardner LLP;
August 14, 2013, previously published on August 12, 2013On July 19, 2013, the Ninth Circuit affirmed an award of summary judgment to an aftermarket auto parts distributor that had received better prices than a competitor. Gorlick Distribution Centers, LLC v. Car Sound Exhaust System, Inc., 2013 U.S. App. LEXIS 14635 (9th Cir. 2013). In rejecting the...
|Severe Consequences for Franchisor Executives: Personal Liability and Non-dischargeable Debt|
David L. Cahn, Katelyn P. Vu; Whiteford, Taylor & Preston L.L.P.;
July 29, 2013, previously published on July 24, 2013“Do not pass Go, do not collect $200” is a phrase we all remember from the childhood game Monopoly. Like Monopoly, state franchise sales laws have rules and regulations that must be followed. A franchisor’s failure to follow these basic procedural rules for selling franchises can...
|Another Court Ruling Shows Franchisors the Value of Providing an Item 19 FPR|
David L. Cahn; Whiteford, Taylor & Preston L.L.P.;
July 29, 2013, previously published on July 24, 2013Take-away: Franchisors cannot rely on disclaimers in the contracts and FDD to protect against claims of providing false financial information.
|Franchise Lessons to Be Learned From the Shopper’s Drug Mart Certification Decision|
Sarit E. Batner, Shanon O.N. Grauer, Tyler McAuley, Adam Ship, Thomas N.T. Sutton; McCarthy Tétrault LLP;
July 24, 2013, previously published on July 22, 2013The Shoppers Drug Mart franchisees recently took another step forward in their class action lawsuit. Building on his earlier decision, Justice Perell for the Ontario Superior Court of Justice (ONSC) certified a number of elements of the plaintiffs’ action as a class proceeding. In this...
|How Franchise Systems Can Minimize Risks of Labor Violations|
Corby Cochran Anderson, John D. Cole, Dedria Harper Kolb; Nexsen Pruet, LLC;
July 22, 2013, previously published on July 2013No one enjoys being the center of attention when that attention is coming from federal regulators. Yet that’s where franchise systems have found themselves of late - especially in the hospitality sector, which accounts for roughly one-third of franchise systems. The Wage and Hour Division of...
|General Motors New Terms and Conditions Effective July 15, 2013|
Ryan S. Bewersdorf; Foley & Lardner LLP;
July 16, 2013, previously published on July 11, 2013General Motors has announced that Effective July 15, 2013, its general terms and conditions for direct material, customer care & aftersales (CCA) and tooling purchases are changing. The new terms and conditions are part of GM’s implementation of its joint purchasing activities with PSA...
|Lawn Mowers and Wheelbarrows Are Now "Motor Vehicles" in New Hampshire|
Michael A. Bowen, Roberta F. Howell, Trent M. Johnson; Foley & Lardner LLP;
July 11, 2013, previously published on July 8, 2013A statute just enacted in New Hampshire will subject tractors, farm implements, construction, industrial, and forestry equipment, and even lawn and garden equipment to the detailed regulatory regime applying to car dealerships.
|Growth: The Lifeblood of a Franchise System|
Ted P. Pearce; Nexsen Pruet, LLC;
June 21, 2013, previously published on June 2013At a recent meeting of Charlotte’s Franchise Business Network, sponsored by the International Franchise Association (the IFA) and Nexsen Pruet, 40 participants from a range of franchise concepts discussed paths to growing a franchise system, from the perspective of franchisors and...
|Growler Sales Now Permitted in North Carolina|
M. Keith Kapp, Jennifer A. Morgan; Williams Mullen;
June 19, 2013, previously published on June 18, 2013North Carolina Governor Pat McCrory signed the growler legislation into law on 12 June 2013, and the law is now in effect. As a result, businesses holding on-premises malt beverage permits, off-premises malt beverage permits, or wine shop permits, may begin selling growlers in accordance with the...
|CPUC Rulemaking to Decide if Localities will be Shut Out of State Video Franchise Renewal Process|
Gail A. Karish, Harriet A. Steiner, Joseph Van Eaton; Best Best & Krieger LLP;
June 6, 2013, previously published on June 5, 2013The California Public Utilities Commission (CPUC) recently launched a proceeding to establish the rules that holders of state video franchises (such as Comcast, Time Warner Cable, Verizon, AT&T and others) must follow to obtain renewal of their franchises issued pursuant to the Digital...