News & Analysis as of

Employer Liability Issues Labor Law Violations Franchises

Ogletree, Deakins, Nash, Smoak & Stewart,...

New York State Senate Bill Would Make Fast-Food Franchisors Jointly and Severally Liable for Certain Labor Law Violations

On April 8, 2025, the New York State Legislature took up Senate Bill S7289, which, if enacted, would amend the New York Labor Law (NYLL) by adding a new article 35-A, otherwise known as the “New York State Fast Food...more

Littler

Hot Take(out): California Fast Food Franchises Could Face Increased Liability

Littler on

It’s been a busy spring at the California state capitol.  Among the few thousand bills being considered by California’s legislature this year, AB 1228 stands out.  The bill would essentially create joint liability for...more

Best Best & Krieger LLP

Doing Business in 2020: Courts Tackle Employment Law

Part 2: New Employment-Related Court Decisions Impacting California’s Public and Private Entities - California and federal courts handed down a number of labor and employment-related decisions last year, impacting...more

Robins Kaplan LLP

Financial Daily Dose 1.13.2020 | Top Story: Labor Dept. Issues Stricter Joint Employer Test in New Rules

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Sunday’s release of a long-awaited Labor Department final rule on joint employment spells trouble for workers hoping to “sue large companies for wrongdoing by contractors or franchisees.” The rule reverses Obama-era policies...more

Best Best & Krieger LLP

“Super-Sized” Win Delivered to California Franchisors

Best Best & Krieger LLP on

Ninth Circuit Clarifies Joint Employer Classification - McDonald’s was not a joint employer of its franchisees’ workers, the U.S. Ninth Circuit Court of Appeals found recently in a decision that provides additional clarity...more

Seyfarth Shaw LLP

Common Sense Prevails For California Franchisors: Ninth Circuit Focuses On Actual Control of the Worker in Joint Employment...

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Seyfarth Synopsis: The Ninth Circuit’s recent decision in Salazar v. McDonald’s Corporation is welcome news for entities facing concerns about joint employment status under California law, and in particular, for franchisors....more

Carlton Fields

Don’t Count Your Chickens – Or State Citizens For CAFA Exceptions – Before They Hatch

Carlton Fields on

The Ninth Circuit vacated a remand order implicating the local and home-state controversy exceptions to CAFA jurisdiction in a putative class action by former California resident employees of Kentucky Fried Chicken (KFC) for...more

Franczek P.C.

McDonald’s & The NLRB to Settle a Nearly Four-Year Battle Involving Joint-Employer Status

Franczek P.C. on

On March 19, 2018, McDonald’s reached a proposed settlement with the National Labor Relations Board (the “Board”) to resolve the outstanding litigation concerning alleged labor law violations by McDonald’s franchisees. ...more

Seyfarth Shaw LLP

Extra Credit: Franchise Restaurant Workers Clear Path To Massive Payout On Technicality Under New York Law

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Seyfarth Synopsis: Tipped workers who didn’t receive notice of the tip credit get a win under New York state minimum wage law in a case that echoes technical traps we have seen in FLSA decisions. ...more

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