News & Analysis as of

Franchise Agreements Appeals Contract Terms

Lathrop GPM

Tennessee Appellate Court Finds that Venue Clause in Franchise Agreement is Permissive and Not Mandatory

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The Tennessee Court of Appeals reversed a district court’s dismissal of a franchisee’s declaratory judgment claim, finding that the claim was properly brought in Tennessee.  Lakeway Real Estate2, LLC v. ERA Franchise Sys.,...more

Lathrop GPM

California Court of Appeals Affirms Rejection of Reverse Royalty Damages in a Breach of Contract Action by Franchisee

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An appellate court in California has affirmed a trial court’s rejection of more than $4 million in lost business profits, which appellant Glen Suh alleged in a breach of contract action against franchisor Boba Time, Inc. Suh...more

Lathrop GPM

Eighth Circuit Rules a Franchisor Is Not Entitled to Compel Arbitration of its Own Claims After Receiving a Series of Unfavorable...

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The Eighth Circuit Court of Appeals has affirmed the denial of a motion to stay pending arbitration because the claims of the franchisor, Breadeaux’s Pisa, did not fall within the mandatory stay provision of the Federal...more

Foley & Lardner LLP

Court Looks at What a Franchise Is Under the Minnesota Franchise Act

Foley & Lardner LLP on

In Louis Degidio, Inc. v. Industrial Combustion, LLC, Louis Degidio, Inc. (Degidio) and Louis Degidio Services, Inc. (Degidio Services) sued Industrial Combustion, LLC (IC), a manufacturer of “institutional boiler system”...more

Lathrop GPM

New York Appellate Court Dismisses Royalties Claim Because of Franchisor’s Breach Under Preliminary Injunction

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A state appellate court in New York recently held a franchisor was not entitled to unpaid royalty fees because of its own breach of a franchise agreement reinstated by preliminary injunction. Integrity Real Estate Consultants...more

Snell & Wilmer

A Deal is a Deal in Utah: Utah Court Enforces “Walk-Away” Settlement Despite Subsequent Disagreements On Terms

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In the construction arena, there is a constant dialogue between owners, builders, and designers about changes to original deal terms. It’s natural and expected. And sometimes those dialogues lead to disagreements, and...more

Lathrop GPM

The Franchise Memorandum - Issue #271

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Ninth Circuit Reverses Class Action Settlement Approval and Fee Award - The Ninth Circuit Court of Appeals has reversed the approval of a $10 million voucher settlement and a $2.6 million attorneys’ fee award in a class...more

Lathrop GPM

The Franchise Memorandum - Issue # 261

Lathrop GPM on

Welcome to The Franchise Memorandum by Lathrop GPM. Below are summaries of recent legal developments of interest to franchisors. Fifth Circuit Reverses Trial Court’s Excusal of Area Representative’s Tardy Renewal Notice -...more

Lewitt Hackman

Franchisor 101: Forum Selection Clause Gone Wrong

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A California Court of Appeal held that courts should not enforce forum selection clauses in contracts that also contain a jury waiver. For franchisors that have California franchisees, this ruling could complicate the ability...more

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