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Is Franchising Doomed?
Strategies for Negotiating with a Franchisee and Franchisor
Before committing to a franchise business, consider...
A Massachusetts federal district court enforced a non-compete provision in a franchise agreement to enjoin former franchisees from operating a different branded automotive business at the same location as the former...more
A federal court in Arizona recently granted franchisor LeTip World Franchise’s motion to temporarily restrain and preliminarily enjoin a former franchisee from operating a competing business. LeTip World Franchise, LLC v....more
A Minnesota federal court denied cookie dough franchisor Cookie Dough Bliss Franchising’s motion for a temporary restraining order and preliminary injunction against a former Minnesota franchisee and its owners....more
A federal court in Utah denied a requested injunction in a dispute between competitors in the gourmet cookie market. Crumbl LLC v. Dirty Dough LLC, (D. Utah Aug. 11, 2023)....more
The Second Circuit Court of Appeals affirmed a district court’s order denying a franchisor’s request for preliminary injunction against a terminated franchisee to enforce covenants not to compete or solicit former clients....more
An Ohio appellate court upheld the state trial court’s decision to grant a permanent injunction against two former franchisees of an auto body shop franchise working for a competitor in violation of the franchise agreement’s...more
A New Jersey federal court denied a franchisor’s motion for preliminary injunction against a franchisee due to franchisor’s 11 month delay in bringing the motion. Franchisee entered into two franchise agreements with H-1 Auto...more
A federal district court denied a motion for preliminary injunction brought by pizza franchisor, Breadeaux’s Pisa, LLC, seeking to stop a former franchisee from operating a competing pizza business. The franchise agreement...more
A California federal court denied Mountain Mike’s Pizza a temporary restraining order (“TRO”) against one of its franchisees who did not renew its franchise agreement and opened a new restaurant under a different name. In...more
An Indiana federal court granted hamburger and milkshake franchisor, Steak n Shake, a temporary restraining order (“TRO”) against a franchisee to enforce post-termination obligations under franchise and area development...more
A group of franchisees sued OsteoStrong, a franchisor of bone density improvement centers. They claimed omissions in the FDD about bankruptcies and lawsuits, and misrepresentations of patent rights to equipment and...more
In November 2020, the Supreme Court of Canada released its decision in 1688782 Ontario Inc. v Maple Leaf Foods Inc. This is an important decision clarifying the analytical approach to the duty of care analysis in negligence...more
A federal district court in Michigan granted a preliminary injunction in favor of tax preparation franchisor, Liberty Tax Service (JTH Tax, Inc. v. Magnotte, E.D. Mich., ¶16,575), finding it was likely to succeed on its...more
Eskimo Hut, a franchisor of convenience stores that sell frozen daiquiris-to-go, convinced a Texas appellate court that it would probably win on claims that South Plains, a franchisee using a nonconforming drink mix, breached...more
Franchisees aren't always excited when their franchisor introduces a new policy. But if a new policy overreaches and might doom a franchisee's business, can it be stopped before it starts?...more
When seeking preliminary injunctive relief to enforce a non-compete, the moving party is often focused on how obvious it is that the defendant breached the parties’ agreement. As 7-Eleven recently learned, however, even when...more