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Bankruptcy Court Franchisors

Polsinelli

Global Franchise & Supply Network - 2025 Report

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While 2024 saw more stability in the financial markets than 2023, many challenges arose in 2024 for franchised businesses, manufacturers and retail chains, including bankruptcies of many large restaurant and retail chains,...more

Pillsbury Winthrop Shaw Pittman LLP

Bankruptcy Court Ruling Highlights Circuit Split on Franchise Agreements

The California decision reinforces a strict approach to assumption of franchise agreements, underscoring potential roadblocks for franchisee reorganizations. Even where a debtor is not assigning a franchise agreement,...more

Lathrop GPM

California Bankruptcy Court Rules that Section 364(c)(1) of the Bankruptcy Code Allows Popeyes Louisiana Kitchen to Block Chapter...

Lathrop GPM on

A bankruptcy court in California denied Pinnacle Foods of California, LLC’s motion to assume six separate franchise agreements with franchisor Popeyes Louisiana Kitchen, Inc. In re Pinnacle Foods of California LLC, 2024 WL...more

Lewitt Hackman

Franchisor 101: Delivering Timely Terminations

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A trial judge for the United States Bankruptcy Court in Illinois denied a franchisee’s motion to enforce an automatic stay against The UPS Store (“TUPSS”), concluding that TUPSS’ termination of the franchise agreement was...more

Nelson Mullins Riley & Scarborough LLP

Eleventh Circuit Upholds Settlement Agreement Obtained Under Threat of Criminal Prosecution

It is widely known that federal law criminalizes certain bad acts in connection with bankruptcy cases. See 18 U.S.C. §§ 151—158. For example, 18 U.S.C. § 152 makes it a crime to, among other things, conceal bankruptcy estate...more

Lathrop GPM

Minnesota Bankruptcy Court Enjoins Franchisee’s Breach of Post-Termination Noncompete

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A Minnesota bankruptcy court granted Fantastic Sams summary judgment and enjoined a former franchisee from violating the post-termination noncompete in its franchise agreements after the franchisee rejected the agreements in...more

Foley & Lardner LLP

Franchisor Bankruptcy Case Dismissed as a Bad Faith Filing

Foley & Lardner LLP on

The United States Bankruptcy Court for the District of Delaware recently issued an opinion discussing the tension between using bankruptcy as a legitimate tool to maximize value versus using bankruptcy merely as a litigation...more

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