A Legal Blog for Franchisors

Tag Archives: Franchisor

Scorched! What Happens to a Brand When a Spokesperson Does the Unthinkable? (Part II)

Posted in Franchisor
As my partner, Kathleen Petrich, mentioned in her recent post, Subway took quick action to distance itself from Jared Fogle upon learning of the investigation into his alleged involvement with child pornography. Subway’s actions included removing reference of Jared from its website and from the thousands of Subway restaurants. But how can Subway do that… Continue Reading

NLRB’s General Counsel Provides a Glimpse of His Thinking on “Joint Employer” Standard

Posted in Franchisor, Policy
On July 29, the NLRB’s General Counsel Richard Griffin announced that he would allow administrative actions to proceed against McDonald’s as a “joint employer” of a franchisee’s employees. Since then, the NLRB has been asked to explain the rationale for that decision. While no formal explanation has been provided, POLITICO’s Brian Mahoney recently reported that… 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

Using the Franchise Agreement to Discourage Free-Riding

Posted in Franchisor
From a franchisor’s perspective, it is important that all customers receive the same quality product and service offering regardless of what outlet they may visit. The menu of product offerings must be consistent, and the procedures for customer service correctly followed. The value of the franchisor’s brand depends on this consistency, and the more valuable… Continue Reading

Welcome to ZorBlog: A Legal Blog for Franchisors

Posted in ZorBlog
Thank you for stopping by; we’re glad you’re here. We created this blog as a resource for franchisors, potential franchisors, and others interested in the franchise industry and laws. Why ZorBlog? Well, other than the cool factor, it concisely conveys both the intended audience and the focus of our content: franchisors and issues relating to… 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