The State of New York recently enacted a new, limited exemption to its Franchise Sales Act (N.Y. Gen. Bus. L. § 680 et. seq.) (the “Act”), which will allow franchisors that are not registered with the State to participate in a franchise trade show under certain circumstances.
Tag: franchisee
Negotiating Franchise Sales In California
One of the most misunderstood aspects of California’s franchise law is its regulation of negotiated sales. Under the law, if a California franchisee has been given a “special deal” that is not part of the franchisor’s standard offering, then the franchisor may be required to disclose the terms of that deal to subsequent California franchisees during the following year. How can your franchise comply with the law?
Should Franchisees Be Permitted To Operate Their Own Websites?
A recent blog post asserts three reasons why a franchisee should be permitted to operate his or her own website, in addition to a specific social media page / identity. But is it a good idea for a franchisor to allow dozens, or hundreds, of individual franchisee websites?
Massachusetts Lawmakers Considering Law That Would Classify Franchisees As Owners
Lawmakers in Massachusetts this week are considering a bill that would (hopefully) resolve some of the troubling issues that were raised in the Massachusetts federal court decision Massachusetts federal court decision in Awuah v. Coverall North America, Inc.
KFC National Council and Advertising Cooperative, Inc. v. KFC Corporation: A Cautionary Tale
The Delaware Chancery Court recently issued a decision severely limiting KFC Corp.’s right to control brand marketing in a case that offers several important lessons about managing franchisee relations. The case involved a suit brought against the international fried chicken franchisor by a special purpose entity formed to develop and manage the chain’s domestic advertising. The suit centered on the scope of the NCAC’s authority to control brand advertising.
Are Your Franchisees Really Your Employees? Giving Further Consideration To Awuah v. Coverall
Over the past several months, the blog post that has consistently received the most attention is Awuah v. Coverall: Is The Franchising Model Really At Risk? This is no real surprise, as the Awuah decision has garnered much attention as an area of concern for franchisors. As I recently gave a presentation to the Nevada Franchise Business Network on this topic, I thought I could supplement that post with some of the material I covered in my presentation. This blog post is a summary of the material I covered.
Forward Franchising 