Category Archives: Franchise Law
When Your Own Franchise Becomes Your Biggest Competitor: Understanding Territory Encroachment
Picture opening a franchise location, building up loyal customers over several years, and then watching the same brand open a second location three blocks away. Frustrating, right? This scenario, known as encroachment, is one of the most common disputes between franchisors and franchisees in Florida. Our West Palm Beach franchise law attorneys see it… Read More »
Got a Franchise Default Notice? Here’s How to Respond Without Losing Everything You’ve Built
A default notice from your franchisor can feel like the ground shifting under your feet. Maybe it cites a missed royalty payment, a failed inspection, or an alleged brand standards violation. Whatever the reason, one fact catches most franchise owners off guard: Florida does not have a general franchise relationship law that guarantees you… Read More »
Franchise Termination Disputes: What Florida Franchisees Should Know
You signed a franchise agreement expecting a long-term partnership, a proven business model, and ongoing support from the brand. So what happens when the franchisor decides it wants out, or claims you violated the agreement and moves to shut down your location? Franchise termination is one of the most disruptive events a small business… Read More »
When Franchise Agreements Lead to Commercial Litigation
Franchising can seem like a dream come true. You get the backing of an established brand, a proven business model, and built-in name recognition. But what happens when the relationship between a franchisee and franchisor goes wrong? The reality is that franchise agreements are dense, complex legal contracts that create obligations on both sides…. Read More »
5 Most Common Reasons for Disputes Between Franchisees and Franchisors
Franchise opportunities exist in almost every industry, from gyms to schools to auto repair facilities, with fast food, personal services and retail being some of the most popular. There are approximately 790,492 franchise establishments in the U.S. that support nearly 8.4 million direct jobs, $825.4 billion of economic output for the U.S. economy, and… Read More »
Franchising and Licensing: Weighing the Pros and Cons of Each
If you are looking to start a business, you may be considering purchasing a franchise. But what’s the difference between going into a franchise, and simply purchasing a license to use someone else’s trademark, logo, or other information? Pros and Cons of a Franchise A franchise is a much more involved transaction than a… Read More »
Federal Court Invalidates Part of ‘Joint Employer’ Rule—Here is What it Could Mean for Franchise Law in Florida
In September, the United States District Court for the Southern District struck down a portion of the DOL’s new ‘joint employer’ rule. The decision came after New York—and sixteen other states—filed a lawsuit to stop the implementation of the new standard. Notably, Florida was not among the states seeking to block the revised ‘joint… Read More »
Legal Guide for Franchised Businesses Reopening Amid the COVID-19 Pandemic
As businesses in Florida continue to reopen in the wake of the coronavirus pandemic, there are some legal considerations for owners of franchised businesses. We have prepared a guide for franchised businesses reopening amid the COVID-19 pandemic. Employment-Related Claims and Employee Safety Like all other companies, franchised businesses must prioritize their employee safety when… Read More »
Four Ways the COVID-19 Pandemic is Affecting Franchisor-Franchisee Relationships
The coronavirus outbreak is having an enormous impact on businesses throughout the country. Many companies have, at least temporarily, been forced to suspend or reduce operations. Other firms are dealing with serious disruptions. For franchisors and franchisees, the COVID-19 pandemic presents are some unique challenges. Here, our West Palm Beach franchise law attorneys highlight… Read More »
Florida Franchise Law: Does a Franchisor-Franchisee Relationship Carry a Fiduciary Duty?
To form a successful commercial relationship, franchisors and franchisees must work together. By the very nature of the business, they share some important common interests. At the same time, franchisors and franchisees are distinct companies—their business interests are certainly not fully aligned. The Florida Franchise Act (FFA) establishes some basic standards for how these… Read More »