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Before committing to a franchise business, consider...
On May 1, 2025, the Wage and Hour Division (“WHD”) of the U.S. Department of Labor (“DOL”) issued a Field Assistance Bulletin stepping back from a restrictive independent contractor rule issued under the Biden...more
ARIZONA- Pursuant to H.B. 2146, employers must notify the Arizona Department of Homeland Security about any security breach involving personal information, if more than 1,000 state residents (including employees and...more
The Massachusetts Supreme Judicial Court recently issued three decisions with significant implications for employers in the commonwealth, holding that (1) when an employer pays wages to an employee after the deadlines...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
Franchisors faced unprecedented challenges in 2020. Enactment of California’s Assembly Bill 5 on January 1, 2020 was just the tip of an iceberg. As the COVID-19 pandemic upended franchise systems across all industries,...more
Download PDF Assembly Bill 5 took effect in California on January 1, 2020 and governs when a business can treat a worker as an employee as opposed to an independent contractor. Under AB5 and its “ABC” test, a hiring entity...more
Seeking to tighten worker misclassification enforcement in New Jersey, on January 20, 2020, Governor Phil Murphy signed into law a package of legislation to add misclassification penalties, allow stop-work orders against...more
The battle over the scope and applicability of the so-called “ABC test” in determining California employers’ potential liability under wage and hour and other state labor laws continues unabated....more
California Governor Gavin Newsom signed into law Assembly Bill 5 (“AB-5”). AB-5 codifies into California’s Labor Code the “ABC test” for determining employee or independent contractor status, as adopted by the California...more
On September 24, 2019, the U.S. Court of Appeals for the Ninth Circuit certified to the Supreme Court of California the question of whether that court’s landmark 2018 decision in Dynamex v. Superior Court should be applied...more
“Some day, California’s going to fall into the ocean” usually refers to the San Andreas fault. Now it may refer to AB-5, and the future of the franchise industry in California. The California legislature has now passed...more
On September 18, 2020, California Governor Gavin Newsom signed a new measure — Assembly Bill 5 — which will redefine how businesses classify their workers. Commonly known as “AB 5,” the new law seeks to codify the “ABC Test”...more
Winter is coming for franchisors in California. Last year, the California Supreme Court decided to hold California businesses liable for the violation of Massachusetts labor statutes when it adopted the ABC test for...more
Earlier this year, Washington adopted a new law—Engrossed Substitute House Bill 1450—that places significant restrictions on the enforceability of non-competition agreements. The law applies to “every written or oral...more
On July 22, 2019, the Ninth Circuit withdrew its recent decision applying the landmark employee/independent contractor classification case, Dynamex, retroactively and indicated that it will be certifying the question to the...more
In its May 2019 opinion in Vazquez v. Jan-Pro Franchising Int’l, Inc., the Ninth Circuit held that the recent California Supreme Court decision, Dynamex Ops. W. Inc. v. Superior Court, should apply retroactively. On Monday,...more
In 2018, the Supreme Court of California turned much of the established law regarding worker classification on its head with its decision in Dynamex Operations West Inc. v. Superior Court....more