A federal court in New York recently denied a franchisor’s motion for summary judgment on a franchisee’s claims for fraudulent misrepresentation. Cmty. Care Companions, Inc. v. Interim Healthcare, Inc., 2025 WL 929407...more
A federal court in California recently granted a manufacturer’s motion to dismiss a distributor’s oral contract claims, but declined to dismiss claims for promissory estoppel and unjust enrichment. Cosmonova, LLC v. BioFilm,...more
On January 13, 2025, the Federal Trade Commission announced that it is seeking public comment on proposed changes to the Business Opportunity Rule and a proposed new Earnings Claim Rule to strengthen the agency’s tools to...more
2/18/2025
/ Business Opportunities ,
Comment Period ,
Consumer Protection Laws ,
Enforcement Actions ,
False Advertising ,
Federal Trade Commission (FTC) ,
Marketing ,
MLM Industry ,
Proposed Amendments ,
Rulemaking Process ,
Unfair or Deceptive Trade Practices
The Supreme Court of Minnesota has held that there is no territorial limit to the Minnesota Franchise Act’s (MFA) provision barring unfair practices, but nevertheless affirmed dismissal of MFA claims where the parties’...more
The United States Supreme Court recently reversed a decision of the Ninth Circuit Court of Appeals that held lower courts may dismiss a case when a party requests a stay pending arbitration. Smith v. Spizzirri, 144 S. Ct....more
A federal court in New Jersey denied plaintiffs’ motion for reconsideration or leave to file an interlocutory appeal challenging the court’s decision to grant defendants’ motion to transfer the case to the Western District of...more
The United States Supreme Court recently determined that an exemption to the Federal Arbitration Act excluding workers engaged in foreign or interstate commerce from coverage under the Act includes a transportation worker...more
The Federal Circuit Court of Appeals reversed a preliminary injunction granted as to franchisor Urban Air’s patent and trade dress infringement claims against Kangaroo, LLC. UATP IP, LLC v. Kangaroo, LLC, 2024 WL 658205 (Fed....more
3/19/2024
/ Contract Termination ,
Default ,
Franchise Agreements ,
Franchisee ,
Franchises ,
Franchisors ,
Infringement ,
IP License ,
Patent Infringement ,
Patents ,
Preliminary Injunctions ,
Remand ,
Reversal ,
Trade Dress
The Seventh Circuit Court of Appeals affirmed an Indiana court's order dismissing a claim by inventor Thomas Russell that his exclusive distributor, Zimmer, Inc., failed to use commercially reasonable efforts to sell...more
A federal court in Pennsylvania granted in part and denied in part a former franchisee’s motion to dismiss a franchisor’s allegation that she misappropriated trade secrets and breached the franchise agreement. JTH Tax, LLC v....more
10/9/2023
/ Breach of Contract ,
Defend Trade Secrets Act (DTSA) ,
Franchise Agreements ,
Franchisee ,
Franchises ,
Franchisors ,
Interstate Commerce ,
Misappropriation ,
Nexus ,
Non-Compete Agreements ,
Non-Solicitation Agreements ,
Rebuttable Presumptions ,
Subject Matter Jurisdiction ,
Time-Barred Claims ,
Trade Secrets ,
Unjust Enrichment
A federal court in Utah denied a requested injunction in a dispute between competitors in the gourmet cookie market. Crumbl LLC v. Dirty Dough LLC, (D. Utah Aug. 11, 2023)....more
A federal court in Kansas recently granted Defendant Sandvik Mining and Construction’s motion to quash a deposition subpoena of its in-house counsel. Roadbuilders Machinery and Supply Co., Inc. v. Sandvik Mining and...more
A federal court in Tennessee recently granted a franchisor’s motion to dismiss claims alleging that a franchisor was liable for a workplace mass shooting by a franchisee. Fernald v. JFE Franchising, Inc., 2023 WL 2938312...more
A federal court in New Jersey granted summary judgment to a car manufacturer, holding that a retailer coalition cannot state a claim on behalf of its members under the New Jersey Franchise Practices Act (NJFPA). N.J. Coal. of...more
A federal court in New Jersey has denied a motion to compel arbitration in a dispute over alleged breach of a franchise agreement. Passion for Restaurants, Inc. v. Villa Pizza, LLC, 2022 WL 18024209 (D.N.J. Dec. 30, 2022)....more