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Employer Liability Issues Hiring & Firing Franchisors

Lewitt Hackman

Franchisor 101: Duty of Care

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The Texas Supreme Court reversed a lower court’s decision against a franchisor based on a theory of negligence after a customer was assaulted by an employee of the franchisee. The court concluded that franchisor did not owe a...more

Foley Hoag LLP

Massachusetts Supreme Judicial Court Rules 7-Eleven Franchisees Are Not Employees

Foley Hoag LLP on

On September 5, 2024, the Massachusetts Supreme Judicial Court (“SJC”) ruled in Patel v. 7-Eleven that 7-Eleven franchisees are not employees of the franchisor under the independent contractor statute. The SJC looked beyond...more

Lewitt Hackman

Franchisor 101: Joint Employer? Check √

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A Maryland federal district court denied a restaurant franchisor’s motion to dismiss, concluding that a restaurant manager at a franchised location alleged sufficient facts to support a finding that the franchisor is a joint...more

CDF Labor Law LLP

[Webinar] What is Happening at the NLRB? What Companies Should Know - October 24th, 10:00 am - 11:00 am PT

CDF Labor Law LLP on

Join CDF partners John Giovannone and Carolina Schwalbach for a one-hour in-depth review of the recent McLaren Macomb, Cemex and Stericycle NLRB decisions and their potential impact on union and non-union employers. If you...more

Lewitt Hackman

Franchisor 101: Salon Franchisor Weaved into Joint Employment Claims

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A Michigan federal district court denied a franchisor’s motion to dismiss claims under Title VII of the Civil Rights Act of 1964 and Michigan law, and claims alleging retaliatory termination and sexually hostile work...more

Fisher Phillips

7-Eleven Franchise Owners Not Deemed Employees Under Massachusetts Law

Fisher Phillips on

A federal court recently ruled that 7-Eleven franchise owners are not employees of the franchisor, the latest development in a long-running legal saga challenging their status as independent contractors. However, this...more

Partridge Snow & Hahn LLP

Massachusetts SJC Holds that Independent Contractor Statute Applies to Franchisees

On March 24, 2022, the Massachusetts Supreme Judicial Court (“SJC”) determined that the Massachusetts independent contractor statute (G. L. c. 149, § 148B) applies within the franchisor-franchisee context and does not...more

Polsinelli

Labor Department Rescinds Pro-Franchise Joint-Employment Rule

Polsinelli on

On July 29, 2021, the U.S. Department of Labor announced it is rescinding a final rule issued just last year (2020 Final Rule) that sought to clarify the standard for finding two separate entities to be “joint employers”...more

Jackson Lewis P.C.

Labor Board Issues Final Rule For Determining Joint-Employer Status

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The National Labor Relations Board (NLRB) has published its final rule governing determination of joint-employer status under the National Labor Relations Act (NLRA), restoring the standard that was applied for several...more

Akerman LLP - HR Defense

Employers Receive Guidance in DOL Final Joint Employer Rule

Effective March 16, 2020, employers will be able to use a four-factor balancing test in determining joint employment status under the Fair Labor Standards Act (FLSA), based on the new final rule adopted by the Department of...more

Foley & Lardner LLP

The Department of Labor’s 2020 Vision: The New Joint Employer Standard under the Fair Labor Standards Act

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A significant amount of legal activity has taken place recently in the area of joint employment. Joint employment exists when more than one entity is deemed to be a worker’s employer. Typically, a direct employer and a...more

McNees Wallace & Nurick LLC

Final Rule Issued by US Department of Labor Clarifying Joint Employment under the Fair Labor Standards Act

As a follow up to its Notice of Proposed Rulemaking issued in April 2019, the US Department of Labor (DOL) announced on January 12, 2020, the issuance of a Final Rule to revise and clarify the standard for joint employment...more

Epstein Becker & Green

DOL Issues Final Rule Addressing Joint Employer Status Under the Fair Labor Standards Act

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On Thursday, January 16, 2020, the U.S. Department of Labor’s Wage and Hour Division (“WHD”) published in the Federal Register the much-anticipated Final Rule regarding joint employer status under the Fair Labor Standards...more

Bricker Graydon LLP

“Are you my employer?” Department of Labor clarifies joint employer status with new final rule

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On January 16, 2020, the Department of Labor (DOL) published a final rule that brings much-needed clarity to employers on how to determine “joint employer” status under the Fair Labor Standards Act (FLSA) when an employee...more

Bradley Arant Boult Cummings LLP

The Relationship Talk: DOL Issues New Rules on Joint Employer Status

When do your business relationships make you a joint employer? Fortunately, the DOL recently published a Notice of Proposed Rulemaking with changes to regulations regarding when two or more entities should be treated as...more

Seyfarth Shaw LLP

Ninth Circuit Expands Reach of Dynamex, Holding ABC Test Retroactive

Seyfarth Shaw LLP on

Seyfarth Synopsis: In 2018 the California Supreme Court issued its radical Dynamex decision, discussed in our One Minute Memo here. Now the Ninth Circuit has piled on, holding in Vazquez v. Jan-Pro Franchising, International,...more

Fox Rothschild LLP

Just Signed! New Washington State Law Limits Use Of Non-Competes And No-Poach Agreements

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Yesterday, Washington’s Governor, Jay Inslee signed HB1450 [PDF] which targets the use of restrictive covenants in the State of Washington (the “Non-Compete Act”). The signing of the Non-Compete Act follows the recent...more

FordHarrison

Ninth Circuit Applies Dynamex Retroactively

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In 2018, the California Supreme Court adopted the “ABC test” for determining whether workers are independent contractors under California wage orders (the Dynamex decision). For a discussion of that decision....more

Akin Gump Strauss Hauer & Feld LLP

A Fresh Approach to No-Poach Provisions in Franchise Agreements

• The Antitrust Division of the Department of Justice (DOJ) and the Federal Trade Commission (FTC) have indicated in the past that they believe that certain agreements between employers not to poach each other’s employees are...more

Fisher Phillips

January 2019: The Top 16 Labor And Employment Law Stories

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It’s hard to keep up with all the recent changes to labor and employment law. While the law always seems to evolve at a rapid pace, there have been an unprecedented number of changes for the past few years—and this past month...more

Skadden, Arps, Slate, Meagher & Flom LLP

Spotlight on No-Poach Agreements Continues, Expands to New Industries

In recent weeks, Washington State Attorney General Bob Ferguson has continued to expand his efforts to eradicate the use of no-poach agreements by employers. The targets of his investigation are companies that have included...more

Littler

NY Attorney General Schneiderman Declares “War” on Non-Compete Agreements That He Perceives as Overbroad

Littler on

In an initiative that is virtually without precedent in New York, in the past two months (June 15, June 22 and August 4) Attorney General Schneiderman announced agreements with three separate companies in three different...more

Hinshaw & Culbertson LLP

Aching Joints: Franchisor Avoids Liability for Franchisee's Labor Disputes

Any time an employer is involved in a franchise relationship, there are bound to be unique issues when legal disputes arise, particularly in the employment context. It is no longer surprising to see the names of any and all...more

Baker Donelson

Franchisor Liability for Franchisee Employment Decisions: The NLRB's General Counsel Addresses the Move to Expand the...

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In July 2014, the National Labor Relations Board (NLRB) took the unexpected step of authorizing complaints against McDonald's USA, LLC and some of its franchisees for the franchisees' responses to employee protests. The Board...more

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