News & Analysis as of

Vicarious Liability Franchisee

Lewitt Hackman

Franchisor 101: Too Much Control can be Painful

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An employee of a Domino’s Pizza franchisee, returning from a pizza delivery, collided with a motorcyclist who suffered serious injuries. After a Pennsylvania jury found Domino’s (as franchisor) vicariously liable for the...more

Lathrop GPM

North Dakota Federal Court Denies Subway’s Motion to Dismiss Franchisee Employee’s Vicarious Liability Sex Trafficking Claims

Lathrop GPM on

A federal court in North Dakota recently denied a motion to dismiss vicarious liability claims against the corporate entities constituting the Subway franchise system. C.S. v. Subway Worldwide, Inc., 2025 WL 472475 (D.N.D....more

Lathrop GPM

Pennsylvania Appellate Court Affirms Finding of Vicarious Liability Against Franchisor in Pizza Delivery Accident

Lathrop GPM on

The Superior Court of Pennsylvania recently affirmed a judgment holding Domino’s Pizza vicariously liable for a motorcycle accident involving a franchisee’s delivery driver. Coryell v. Morris, — A.3d —, 2025 Pa. Super. 28...more

Fox Rothschild LLP

IFA Takeaways: How Smart Franchisors Stay Out of Court

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The International Franchise Association’s Annual Convention is always filled with useful take home information for franchise practitioners. Last week, I attended the session “Proactive Strategies for Franchisors to Prevent...more

Lewitt Hackman

Franchisor 101: No Control, No Liability

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A California federal court granted summary judgment in favor of Red Roof Inns, a hotel franchisor, on sex trafficking claims brought under the Trafficking Victims Protection Reauthorization Act, or TVPRA....more

Lathrop GPM

Illinois Appellate Court Upholds Dismissal of Vicarious Liability Claim Against Franchisor Due to Franchisor’s Lack of Day-to-Day...

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An appellate court in Illinois upheld a trial court’s dismissal of claims that franchisor was vicariously liable for the alleged actions of its franchisees. Shavers v. The UPS Store, Inc., 2023 IL App (1st) 221407-U (Ill....more

Lathrop GPM

Louisiana Appeals Court Affirms Dismissal of Vicarious Liability Claim

Lathrop GPM on

An appellate court in Louisiana recently affirmed summary judgment in favor of a franchisor, dismissing negligence and premises liability claims asserted by a customer was injured on unauthorized exercise equipment. Flynn v....more

Lathrop GPM

The Franchise Memorandum - Issue # 265

Lathrop GPM on

Welcome to The Franchise Memorandum by Lathrop GPM. Below are summaries of recent legal developments of interest to franchisors. Fraud/Misrepresentation - Minnesota Federal Court Rules that Fraud and Misrepresentation...more

Lathrop GPM

The Franchise Memorandum - Issue # 255

Lathrop GPM on

Welcome to The Franchise Memorandum by Lathrop GPM, formerly known as The GPMemorandum. Below are summaries of recent legal developments of interest to franchisors. Given the widespread and evolving impact of the COVID-19...more

Lathrop GPM

The Franchise Memorandum - Issue 249

Lathrop GPM on

Welcome to The Franchise Memorandum by Lathrop GPM, formerly known as The GPMemorandum. Since December 1997, The GPMemorandum has been presenting summaries of recent legal developments of interest to franchisors and companies...more

Lewitt Hackman

FRANCHISOR 101: Liability as Certain as Death & Taxes

Lewitt Hackman on

Structuring a franchise to reduce risk of joint employment and vicarious liability means limiting a franchisor's control over franchisees. This is a challenge in a professional services franchise, where the brand is...more

Fox Rothschild LLP

Federal Court Concludes Franchisor Was NOT Joint Employer

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Another case has been decided adding to the back and forth in the legal world on the issues of a joint employer relationship of a franchisor and its franchisee and vicarious liability and agency between a franchisor and...more

Lewitt Hackman

FRANCHISOR 101: Manual Overload

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A franchisor's investment in brand standards, protection and control often comes at a cost when a consumer believing or claiming to believe the franchisor and franchisee are the same, seeks to hold a franchisor liable for a...more

Snell & Wilmer

Drafting Franchise Agreements After Patterson v. Domino’s : Avoiding the Minefield of Vicarious Liability and Joint Employment

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Lauded as one of the most important franchise cases in the recent past, Patterson v. Domino’s established a new standard for addressing vicarious liability issues in California. In reaching its decision that Domino’s was not...more

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