News & Analysis as of

Franchises FTC Franchise Rule Federal Trade Commission (FTC)

Fox Rothschild LLP

Court Grants nearly $49 Million Default Judgment Against Burger Franchisor in First FTC Franchise Lawsuit in over a Decade

Fox Rothschild LLP on

A federal district court recently granted the United States’ Motion for Default Judgment against the quick-service burger restaurant franchise concept, Burgerim Group USA, Inc. and its owner (“Burgerim”). The Federal Trade...more

Ward and Smith, P.A.

Commentary on Franchising Myths from the FTC

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Drive down almost any busy street, and you'll see numerous examples of well-known franchises, from McDonald's to Ace Hardware. You may have considered opening a franchise and wondered about the potential rewards and...more

Bradley Arant Boult Cummings LLP

When Does a Trademark License Turn into a Franchise?

When entering into a trademark license agreement most trademark owners do not consider the possibility that their agreement actually may be a franchise, which would subject them to specific disclosure requirements and a...more

Troutman Pepper

FTC Seeks Public Comment on Potential Franchise Rule

Troutman Pepper on

The Federal Trade Commission (FTC) made another move to protect two of the Biden administration’s priority constituencies: small business and workers. This time, it targeted perceived unreasonable restraints in the franchise...more

Polsinelli

FTC Turns Its Attention to Franchising

Polsinelli on

On Friday, March 10, 2023, the Federal Trade Commission issued a Request for Information (“RFI”) soliciting public comments on various issues pertaining to the franchisor-franchisee relationship, including franchisor supply...more

BakerHostetler

FTC Ratchets Up Focus on Franchise Issues

BakerHostetler on

Ian Fleming famously wrote, “Once is happenstance. Twice is coincidence. Three times is enemy action.” Although we aren’t quite talking enemy action here, we are seeing heightened Federal Trade Commission (FTC) interest in...more

Cozen O'Connor

Burger Chain Operator Accused of Misleading Franchisees

Cozen O'Connor on

The FTC sued fast-food restaurant chain Burgerim, an affiliated entity, and their owner (collectively, “Burgerim”) over allegations that Burgerim used false and misleading promises to sell franchises in violation of the FTC...more

Lippes Mathias LLP

Dealing With Disclosure Requirements for Franchises and Business Opportunities

Lippes Mathias LLP on

Everyone is familiar with franchises – if you have been to a McDonalds® or a Starbucks®, chances are the location is operated by a franchisee. Less familiar, at least in terms of national name recognition, are ventures...more

Lewitt Hackman

New Franchise Regulations on the Horizon?

Lewitt Hackman on

On September 16, 2020, Rohit Chopra, one of the five commissioners on the Federal Trade Commission (FTC), declared on Twitter that “[franchise] regulators must stop unfair, deceptive, and discriminatory practices that target...more

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