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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

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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

Miles & Stockbridge P.C.

NLRB Proposes to Broaden Joint Employment Standard

On September 6, 2022, the National Labor Relations Board (“NLRB” or “Board”) issued a much anticipated proposed rule that would broaden the circumstances under which two companies may be held responsible for labor law...more

Cozen O'Connor

NYC Council Considers Legislation to End At-Will Employment in the Fast Food Industry

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The New York City Council has proposed additional legislation that would have a major impact on businesses falling within the broad definition of “fast food establishments” and has scheduled a hearing on the bills 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 1.29.2020 | Top Story: Chipotle fined over thousands of child labor law violations in Massachusetts

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Massachusetts has fined Chipotle $1.4 million as part of a settlement with the restaurant chain over accusations that “it routinely violated [state] labor laws, with authorities estimating more than 13,000 violations from...more

Seyfarth Shaw LLP

5 Key Trends For Workplace Class Action Litigation For 2019: Trend #3 Governmental Enforcement Litigation Trends In 2019

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Seyfarth Synopsis: The third key trend from our 16th Annual Workplace Class Action Litigation Report involves governmental enforcement litigation, including an overview of priorities and filings by the EEOC, the U.S....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

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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

Robins Kaplan LLP

Financial Daily Dose 10.2.2019 | Top Story: Johnson & Johnson Pays Out $20 Million to Avoid First Opioid Trial

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Johnson & Johnson doled out $20 million to two Ohio counties rather than go through with its first federal opioid-related trial. The money is rather small potatoes for J&J, but it marks the “first time . . . the world’s...more

Lewitt Hackman

Franchisee 101: Un-Merry Maids

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Employees of a Merry Maids home cleaning franchise brought a class action against the franchisee, the franchisor, its owner and affiliated entities claiming they were joint employers. A California federal district court...more

Carlton Fields

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

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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

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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

Troutman Pepper Locke

Franchisor's Racial Animus Is Irrelevant in Determining Legality of Franchise Termination Under NJ Franchise Practices Act

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In a recent win for franchisor 7-Eleven, Inc., the U.S. Court of Appeals for the Third Circuit upheld a New Jersey district court’s ruling that 7-Eleven properly terminated its franchise agreements for cause based on the...more

Best Best & Krieger LLP

Joint Amicus Brief Filed to Protect Franchise Business Model - BB&K’s Thomas O’Connell Counsel of Record

Best Best & Krieger LLP attorneys Thomas O’Connell, as counsel of record, and Roger Crawford recently submitted an amicus curiae brief to the U.S. Supreme Court on behalf of the International Franchise Association, American...more

Littler

2017 Labor & Employment Laws: New Year, New Government, New Challenges

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On January 1, 2017, employers across the nation will face a host of new or amended federal, state, and/or local labor and employment requirements. At the same time, there is uncertainty as to how the Trump Administration and...more

McAfee & Taft

Pizza franchisee jailed for wage violations

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Most employers know that failing to pay minimum wage or overtime pay to their employees can lead to serious consequences. When employees file lawsuits claiming unpaid overtime wages, they can bring in their co-workers,...more

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