Today’s edition of the Wall Street Journal has a short, but interesting, articleon a handful of the key lawsuits between franchisors and franchisees that made waves in the franchising community during 2010. Two of the cases mentioned have been discussed previously on this blog: Awuah v. Coverall, and Burger King National Franchisee Association v. Burger King. The article provides a good, if brief, summary of the decisions and their potential ramifications on the franchise industry as a whole.
Many businesses have rushed to adopt Social Media policies as they become increasingly aware that their operations can be hurt by employees posting comments about their employers on Facebook and other sites. Beware of the broad, overly-restrictive, and hastily-drafted Social Media policy. A broad policy may cause the company to find itself on the defensive end of a lawsuit.