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Franchises Motion to Dismiss Franchisors

Lathrop GPM

Michigan Federal Court Grants Motion to Dismiss Claims Against One Owner of Franchisor, Denies Motion to Dismiss Claims Against...

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A federal court in Michigan recently granted a motion to dismiss for lack of personal jurisdiction against one owner of a franchisor, while denying the motion to dismiss against the other owner and granting the franchisor’s...more

Lathrop GPM

New York Federal Court Grants Hotel Franchisors’ Motion to Dismiss for Lack of Jurisdiction on Negligence Claims

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A federal court in New York recently granted a motion to dismiss for lack of personal jurisdiction in an action asserting claims that franchisor Hyatt Corporation acted with negligence in connection with assaults to guests...more

Foley & Lardner LLP

Court Denies Motion to Dismiss Suit Alleging that Franchisor Was a Joint Employer

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In Acuff v. Dy N Fly, LLC, four female plaintiffs sued a franchisor of hair salons (Dy N Fly), two of its franchisees, and the owner of the two franchisees for wrongful retaliatory termination and sexual harassment in the...more

Lathrop GPM

Maine Federal Court Grants Franchisor’s Motion to Dismiss Age Discrimination Claim Brought by Franchisee’s Independent Contractor

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A federal court in Maine granted a franchisor’s motion to dismiss claims asserting that a franchisor was liable for its franchisee’s alleged age discrimination in employment. Goodwill v. Anywhere Real Est., 2023 WL 4034372...more

Lathrop GPM

Michigan Federal Court Denies Franchisor’s Motion to Dismiss Claims of Sexually Hostile Work Environment and Retaliatory...

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A federal court in Michigan recently denied a franchisor’s motion to dismiss claims alleging that it was liable as a joint employer for claims under Title VII of the Elliott-Larsen Civil Rights Act, Michigan’s state...more

Lathrop GPM

Michigan Federal Court Grants Motion to Dismiss for Lack of Personal Jurisdiction and Forum Non Conveniens

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A federal court in Michigan granted a motion to dismiss claims that franchisor Bateel International, LLC had violated the Michigan Franchise Investment Law and the Texas Business Opportunity Act. Luxury Concepts, Inc. v....more

Lathrop GPM

Tennessee Federal Court Grants Franchisor’s Motion to Dismiss Claims for Negligent Hiring of Franchisee

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A federal court in Tennessee recently granted a franchisor’s motion to dismiss claims alleging that a franchisor was liable for a workplace mass shooting by a franchisee. Fernald v. JFE Franchising, Inc., 2023 WL 2938312...more

Lathrop GPM

Maryland Federal Court Denies Motion to Dismiss for Forum Non Conveniens but Grant’s Franchisee’s Motion to Dismiss for Personal...

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A federal court in Maryland granted a foreign hotel franchisee’s motion to dismiss for lack of personal jurisdiction but denied a forum non conveniens motion in a personal injury case naming both franchisor and franchisee as...more

Lewitt Hackman

Franchisee 101: If it Walks Like a Franchise, Talks Like a Franchise, it Might Be a Franchise

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Twin City Lodging LLC bought a Best Western Hotel in Mankato, Minnesota, then entered into a “Membership Agreement” with Best Western International. Best Western granted Twin City a license to operate the hotel under Best...more

Lewitt Hackman

FRANCHISOR 101: Thrust Into Antitrust

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Jimmy John’s will face antitrust claims, after an Illinois federal judge declined to dismiss allegations in a class action. Plaintiffs claim the chain’s franchise agreement harmed competition by preventing franchisee...more

Lewitt Hackman

FRANCHISOR 101: Future Royalties and Beyond

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A Florida federal court refused to dismiss a franchisor's claim for past due royalties and lost future profits. The case concerned an Interim Healthcare staffing franchise in Arizona. The franchisor issued a default notice...more

Foley & Lardner LLP

Franchisor Bankruptcy Case Dismissed as a Bad Faith Filing

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The United States Bankruptcy Court for the District of Delaware recently issued an opinion discussing the tension between using bankruptcy as a legitimate tool to maximize value versus using bankruptcy merely as a litigation...more

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