News & Analysis as of

7-Eleven

Lathrop GPM

Massachusetts Supreme Judicial Court Rules that Franchisees Did Not Perform Services for Franchisor Within the Meaning of the...

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The Massachusetts Supreme Judicial Court answered “no” to a certified question from the First Circuit Court of Appeals asking whether plaintiff franchisees “‘perform any service’ for 7-Eleven within the meaning of [the...more

Fisher Phillips

7-Eleven Franchisees Are Not Employees Under Massachusetts Law: 5 Tips to Ensure Compliance After Latest Ruling

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The Massachusetts Supreme Judicial Court (SJC) just delivered a win for franchisor-franchisee relationships. Specifically, the court held that 7-Eleven franchisees are not performing a “service” for their franchisor, meaning...more

Constangy, Brooks, Smith & Prophete, LLP

Oh, thank heaven! 7-Eleven franchisees were not misclassified “employees,” MA high court rules

The Supreme Judicial Court of Massachusetts, answering a certified question, has ruled that five 7-Eleven franchisees were independent contractors, not misclassified “employees,” under the Massachusetts Independent Contractor...more

Seyfarth Shaw LLP

The Massachusetts Supreme Judicial Court Upholds 7-Eleven Franchise System in Denying Franchisees’ Challenge to Their Independent...

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On September 5, 2024, the Massachusetts Supreme Judicial Court (“SJC”) answered a second certified question in Patel, et al. v. 7-Eleven, Inc., et al. (“Patel II”), a long-running case where 7-Eleven franchisees claimed they...more

Foley Hoag LLP

Massachusetts Supreme Judicial Court Rules 7-Eleven Franchisees Are Not Employees

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On September 5, 2024, the Massachusetts Supreme Judicial Court (“SJC”) ruled in Patel v. 7-Eleven that 7-Eleven franchisees are not employees of the franchisor under the independent contractor statute. The SJC looked beyond...more

Ogletree, Deakins, Nash, Smoak & Stewart,...

Massachusetts Supreme Judicial Court Clarifies Franchisee vs. Employee Classification

In the ever-evolving landscape of employment law, a recent Massachusetts Supreme Judicial Court (SJC) opinion, Patel v. 7-Eleven, Inc., has shed light on a critical question: When is a franchisee considered an employee of the...more

Lathrop GPM

California Federal Court Denies Franchisor’s Motion to Dismiss Consumer’s Claims Alleging Violation Under the Unfair Practices...

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A federal court in California denied a franchisor’s motion to dismiss a consumer’s claims for a violation of the unfair-practices prong of California’s Unfair Competition Law (UCL) and unjust enrichment. Torres v. Botanic...more

Cozen O'Connor

The State AG Report – 12.7.2023

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Here are curated AG and federal regulatory news stories highlighting key areas in which state and federal regulators’ decisions are having an impact across the US: •AGs in Solar-darity in Fight Against Allegedly Deceptive...more

Cozen O'Connor

FTC Sues 7-Eleven for Acquisition Allegedly Violating Consent Order

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The FTC brought a lawsuit against 7-Eleven, Inc. and its parent company (together, “7-Eleven”) for allegedly violating an FTC consent order by acquiring a fuel outlet without providing prior notice to the Commission....more

Lathrop GPM

First Circuit Certifies Second Employee Misclassification Question to Massachusetts Supreme Court in Ongoing 7-Eleven Case

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The First Circuit Court of Appeals recently certified to the Massachusetts Supreme Court the question of whether franchisee plaintiffs in an ongoing case pass the threshold inquiry under the state’s three-prong employee...more

Foley & Lardner LLP

Franchisor Victorious in Employment Misclassification Case

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A federal court in Massachusetts granted summary judgment in favor of a franchisor in a long-running case against its franchisees. In Patel et al. v. 7-Eleven, Inc., five 7-Eleven store owners brought suit claiming 7-Eleven...more

Fisher Phillips

7-Eleven Franchise Owners Not Deemed Employees Under Massachusetts Law

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A federal court recently ruled that 7-Eleven franchise owners are not employees of the franchisor, the latest development in a long-running legal saga challenging their status as independent contractors. However, this...more

Partridge Snow & Hahn LLP

Massachusetts SJC Holds that Independent Contractor Statute Applies to Franchisees

On March 24, 2022, the Massachusetts Supreme Judicial Court (“SJC”) determined that the Massachusetts independent contractor statute (G. L. c. 149, § 148B) applies within the franchisor-franchisee context and does not...more

Lewitt Hackman

Franchisor 101: Preemption Preempted

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Patel v. 7-Eleven, a case in Massachusetts, has been closely watched since the ABC test took hold of franchise relationships in employee misclassification cases across the country. A putative class of 7-Eleven franchisees...more

Fisher Phillips

Massachusetts Franchise Owner-Operators May Be Employees of Franchisors

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The Massachusetts Supreme Judicial Court just held that 7-Eleven franchisees may be employees of 7-Eleven under Massachusetts wage and hour law. The March 24 decision in Dhananjay Patel v. 7-Eleven, Inc. will have significant...more

Sheppard Mullin Richter & Hampton LLP

Australia Objects to 7-Eleven’s In-Store Use of Facial Recognition Technology

The Office of the Australian Information Commissioner issued a determination earlier this fall about 7-Eleven’s use of “faceprints.” The OAIC found the convenience store improperly collected faceprint information without...more

Lewitt Hackman

Franchisor 101: A Convenient Truth

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In 2017, four former franchisees brought a class action in California, claiming 7-Eleven owed them unreimbursed expenses. The ex-franchisees claimed they were employees, not independent contractors of 7-Eleven. The court...more

Foley & Lardner LLP

7-Eleven Prevails in Employee Misclassification Suit

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A federal court for the Central District of California in Haitayan v. 7-Eleven, Inc. has ruled in favor of franchisor 7-Eleven and against four franchise owners who claimed they were employees under California law rather than...more

Locke Lord LLP

7-Eleven Beats Franchisees’ Claims That They Were Misclassified as Independent Contractors

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Earlier today, federal judge Dale Fischer in California issued a decision after a lengthy non-jury trial earlier this year, concluding that four 7-Eleven franchisees had been properly classified as independent contractors and...more

Cozen O'Connor

FTC Requires Divestiture In $21 Billion Acquisition Of Retail Fuel Chain

Cozen O'Connor on

The Federal Trade Commission (“FTC”) reached a settlement with 7-Eleven, Inc. and Marathon Petroleum Corporation (“Marathon”) to resolve allegations that 7-Eleven’s acquisition of Marathon’s retail fuel chain subsidiary,...more

Bracewell LLP

Stalemate at FTC Leads to Contested Merger Closing

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On May 14, 2021, despite not having obtained official approval from federal antitrust authorities, 7-Eleven Inc., the largest convenience-store chain in the U.S., took the highly unusual step of closing its $21 billion...more

Cadwalader, Wickersham & Taft LLP

7-Eleven/Speedway: Bumps on the Road to Closing: Are Conventional Closing Conditions Sufficient to Protect Buyer Interests?

In an extraordinary, perhaps unprecedented, action, parties to a proposed deal that had been under investigation for about nine months closed the transaction almost immediately upon expiration of the Hart-Scott-Rodino (“HSR”)...more

Lewitt Hackman

Franchisee 101: No Legal Cure for Serial Defaults

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A federal court in Michigan granted 7-Eleven’s motion for summary judgment, enforcing the franchisor’s right to terminate a franchisee with repeated defaults, even though each default had been cured. 7-Eleven’s franchise...more

Lewitt Hackman

Franchisee 101: Convenience Store Pays for Inconvenient Ordinance

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A federal court in New Jersey denied a 7-Eleven franchisee’s motion for a temporary restraining order. The franchisee sought an order enjoining 7-Eleven from enforcing various franchise agreement provisions, including charges...more

Foley & Lardner LLP

7-Eleven’s Recent Federal Court Victory Illustrates Best Practices When Terminating Franchisees

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A federal court in Michigan recently allowed well-known franchisor 7-Eleven to terminate a franchise relationship when the franchisee serially breached their franchise agreement. 7-Eleven’s procedures leading up to...more

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