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Category Archives: Legislation

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Seattle’s $15 Minimum Wage: Not Unconstitutionally Discriminatory?

Posted in IFA, Legislation
By now you have likely read that the U.S. District Court for the Western District of Washington denied the International Franchise Association and five franchisees’ motion for a preliminary injunction. The plaintiffs sought the Court’s relief to enjoin the April 1st implementation of the City of Seattle’s minimum wage ordinance. The IFA announced on Friday… Continue Reading

Breaking: U.S. District Court Rejects IFA’s Request for Preliminary Injunction

Posted in Legislation
As expected, the United States District Court for the Western District of Washington that heard oral argument last week on the International Franchise Association’s motion for a preliminary injunction against the City of Seattle denied the IFA’s motion and refused to enjoin implementation of the City’s $15 per hour minimum wage ordinance against franchisees. The… Continue Reading

Court Appears Skeptical of IFA’s Challenge to Seattle’s $15 Minimum Wage Law

Posted in Legislation
The U.S. District Court for the Western District of Washington heard oral argument today on the International Franchise Association‘s motion for a preliminary injunction against the City of Seattle. The IFA is seeking to enjoin implementation of the City’s $15 per hour minimum wage ordinance against small franchisees. The ordinance, adopted in 2014, requires large… Continue Reading

Washington DFI Proposed Rule Changes

Posted in Franchisor, Legislation, Washington FIPA
The Washington State Department of Financial Institutions recently published proposed changes to the agency regulations governing delivery of an FDD subject to Washington’s Franchise Investment Protection Act. The new provision would expressly permit franchisors to deliver an FDD over the internet or by other electronic means. The current rule is silent as to the method… Continue Reading

News from Around the World: Canada

Posted in Around the World, Legislation, Policy
Editor’s Note: This series of posts we’re calling “Around the World” come from a larger piece written by Shannon and published in the October 2014 edition of the International Bar Association’s International Franchising Newsletter. Updates were provided by speakers at the Annual IBA/IFA Joint Conference in Chicago in May 2014. Dominic Mochrie, Osler, Hoskin &… Continue Reading

The Battlefield for Franchising: Vicarious Liability

Posted in Franchisor, Legislation
In late August, the California Supreme Court held in Patterson v. Domino’s Pizza, Inc., that Domino’s is not vicariously liable for the inappropriate conduct by a franchisee’s employee. Specifically, the court held that the Franchisor is not responsible for sexual harassment by the assistant manager of a franchised location. The Patterson decision is, of course,… Continue Reading

California to Amend Franchise Laws in Response to…Something? Maybe?

Posted in Franchisor, Legislation
On Thursday the California legislature approved a bill amending the state’s franchise laws. Pending signature by Governor Jerry Brown (almost certainly a foregone conclusion), the changes will be official. As discussed in more detail below, the changes were made to California’s Franchise Relations Act (CFRA), and relate exclusively to the relationship between the franchisor and… Continue Reading

IFA Motion Highlights Discriminatory Intent behind Seattle’s $15 Minimum Wage Law

Posted in Franchisor, Legislation
With the recent enactment of a $15 per hour minimum wage ordinance, the City of Seattle has positioned itself as ground zero for the ongoing struggle over income inequality and wages. In adopting the ordinance, the City explicitly recognized that it would pose a hardship on small businesses, and therefore implemented a tiered structure that… Continue Reading

California Considers Important Amendments to Franchise Relations Act

Posted in Legislation
In late June, the California Assembly Business, Professions and Consumer Protection Committee passed Senate Bill 610, the Small Business Investment & Protection Act. An earlier version of this Bill died in the California legislature last year, but this year’s version now moves to the full California Assembly. Many are predicting passage. The Bill is supported… Continue Reading

CASL: Is that Email Worth C$10 Million?

Posted in Legislation
Is that email you’re about to send out to your marketing list worth $10 million? And I don’t mean in potential revenue. I mean fines. Today, July 1, 2014, the Canadian Anti-Spam Legislation (CASL) comes into effect and it has some serious bite. CASL requires any person who sends commercial electronic messages (CEM) to recipients… Continue Reading

What is a Franchise Anyway?

Posted in Legislation
The $15 minimum wage ordinance recently enacted in Seattle has a lot of people talking about franchising.  The ordinance allows small employers to phase-in the $15 minimum wage over seven years and large employers in three years. In its ordinance, the City of Seattle has defined a large employer as one with 500 or more… Continue Reading