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.
Are you unknowingly operating a franchise system? If you are licensing others to use your trademarks for a fee, the answer could be yes. Under federal or even state law, a commercial relationship between two parties could be a franchise — even if neither of the parties intended to create one.