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A Shot of Reality: Court Denies Dealer’s Request for Preliminary Injunction to Stop Termination of Dealership Agreement

A federal court recently denied a dealer’s request for preliminary injunction to halt the termination of a dealership agreement with a manufacturer of liquor control systems. The dealer’s acts and omissions during the...more

Texas Supreme Court Limits Franchisor Liability in Franchisee Sexual Assault Case

On May 2, 2025, the Texas Supreme Court held that a franchisor owes no duty of care for injuries caused by a franchisee’s employee unless the franchisor retained or exercised control over the hiring of that employee....more

Keep Wining: Franchise Statute Opens Door to Protections for Missouri Wine Distributor

The Eighth Circuit recently applied a novel, broad reading of the Missouri Franchise Act granting franchise protection to distributors which previously would not likely have been considered franchisees....more

Third Circuit Rules Texas Auto Dealer Incentive Programs Must Use Reliable Standards

The Texas Third Court of Appeals has offered guidance on the use of dealer incentive programs (DIPs) under the Texas Occupations Code (TOC). In Star Houston, Inc. v. Volvo Cars of North America, LLC and the Board of the Texas...more

Court Looks at What a Franchise Is Under the Minnesota Franchise Act

In Louis Degidio, Inc. v. Industrial Combustion, LLC, Louis Degidio, Inc. (Degidio) and Louis Degidio Services, Inc. (Degidio Services) sued Industrial Combustion, LLC (IC), a manufacturer of “institutional boiler system”...more

Federal Appeals Court Rules on Franchisor’s Power to Impose Changes on Franchise System

The Eleventh Circuit Court of Appeals recently issued an opinion concerning a dispute over a franchisor’s effort to mandate changes to a franchisee’s operations. The Court granted the franchisor a mixed result. The decision...more

Massachusetts Court of Appeals Gives Victory to Employers in Interpretation of ABC Test

A recent decision on the scope of the so-called ABC Test gives guidance to firms using independent contractors. In Tiger Home Inspection, Inc. v. Director of the Dept. of Unemployment Assistance, a Massachusetts appeals court...more

Ninth Circuit Analyzes AB 5 in Class Action Ruling

The Ninth Circuit recently reviewed a district court’s handling of a class action involving claims of employment misclassification. Bowerman v. Field Asset Services, Inc. is instructive for at least two reasons: It provides...more

Sixth Circuit Holds Michigan Franchise Investment Law Voids Forum Selection Clause

The Sixth Circuit has held that a contractual forum-selection clause in a franchise agreement was unenforceable because it violated state law. In Lakeside Surfaces, Inc. v. Cambria Company, LLC, Lakeside Surfaces, a...more

Liar, Liar: Texas Supreme Court Rejects Fraud As Basis For Ignoring Dealer Agreements

One of the most important tools manufacturers and franchisors have available to manage their networks are the agreements they sign with their channel partners. Significant time and effort go into those contracts, ensuring...more

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