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Before committing to a franchise business, consider...
A federal court recently denied a franchisor’s motion to dismiss a workplace-abuse lawsuit filed by its franchisee’s employee because the employee stated a claim upon which relief could be granted under Federal Rule of Civil...more
On May 2, 2025, the Texas Supreme Court reversed a Texas Court of Appeals’ decision that had affirmed a jury’s verdict finding a franchisor directly liable to the customer of a franchisee for actions undertaken by the...more
A federal court in Maine granted a franchisor’s motion to dismiss claims asserting that a franchisor was liable for its franchisee’s alleged age discrimination in employment. Goodwill v. Anywhere Real Est., 2023 WL 4034372...more
Over the last several years, business-to-business “no-hire” and “no-poach” agreements have come under legal attack, including through enforcement actions by the Federal Trade Commission and criminal prosecutions by the...more
On March 24, 2022, the Massachusetts Supreme Judicial Court (SJC) handed down a key ruling that could have a significant impact on franchising across the state. In Patel v. 7-Eleven, Inc., the SJC was asked whether the...more
In 2015, the NLRB adopted a more relaxed standard for determining when an entity could be considered a joint employer and thus liable for alleged workplace wrongs along with a direct employer. Of course the result of the...more
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
Home speaker maker Sonos has sued Google, accusing the company of “infringing on five of its patents, including technology that lets wireless speakers connect and synchronize with one another.” Sonos had originally partnered...more
In an important wage-and-hour decision for franchisors, Salazar, et al. v. the McDonald’s Corp., et al., the Ninth Circuit Court of Appeals ruled that employees of one of the hamburger giant’s California-based franchisees...more
A recent Supreme Court of Canada (SCC) decision considered whether a franchisee who entered into a franchise agreement with a franchisor was an employee or an independent contractor. The fact-specific case, Modern Cleaning...more
On May 17, 2019, Judge Renee Marie Bumb of the United States District Court for the District of New Jersey rejected the parties’ request to dismiss a Fair Labor Standards Act (“FLSA”) lawsuit without the Judge’s review of the...more
On May 2, 2019, the Ninth Circuit in Vazquez v. Jan-Pro Franchising Int’l, Inc. held that the California Supreme Court’s 2018 decision in Dynamex Operations West v. Superior Court applied retroactively. ...more
On May 2, 2019, the Ninth Circuit issued a ruling that has wide implications for California franchisors who rely on independent contractor relationships. In a unanimous decision, the Ninth Circuit held that the more rigid ABC...more
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
A pizza delivery driver employed by Domino’s Pizza franchisee Cowabunga Inc. filed a collective action under the Fair Labor Standards Act with the National Labor Relations Board. ...more
Franchise agreements often contain provisions prohibiting the franchisee from soliciting or hiring workers employed by the franchisor or other franchisees. Such “anti-poaching” agreements have recently come under increased...more
The new General Counsel of the National Labor Relations Board (“Labor Board”), Peter Robb, continues to reshape the agency with his vision. Consistent with his January 2018 promise to consider “settlements of any kind that...more
Many of you likely have filled out your March Madness bracket, and are eagerly watching game after game hoping your bracket doesn’t bust. The gig misclassification game is experiencing a March Madness of its own. The debate...more
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