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Franchises Preliminary Injunctions

Lathrop GPM

Michigan Federal Court Grants Franchisor’s Motion for Preliminary Injunction Against Former Restoration Service Franchisee

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A federal court in Michigan has granted a franchisor’s motion for preliminary injunction against former franchisees for violating the franchise agreements’ post-termination noncompete provisions. 1-800 Water Damage Int’l LLC...more

Lathrop GPM

New Jersey Federal Court Partially Enforces Noncompete Covenant Against Former Franchisee

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A federal court in New Jersey recently granted a franchisor’s motion for a preliminary injunction, enjoining the former franchisee from using the franchisor’s marks and violating the franchise agreement’s noncompete clause,...more

Fox Rothschild LLP

Georgia Court Finds Hooter’s Franchise Non-Compete Unreasonable in Geographic Scope

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A district court in Georgia recently granted a Motion for Preliminary Injunction filed by HOA Franchising, LLC’s, the franchisor of the Hooters restaurant chain (“Hooters”), against one of its former restaurant franchisees,...more

Lathrop GPM

Federal Circuit Reverses Preliminary Injunction on Franchisor’s Patent and Trade Dress Infringement Claim

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The Federal Circuit Court of Appeals reversed a preliminary injunction granted as to franchisor Urban Air’s patent and trade dress infringement claims against Kangaroo, LLC. UATP IP, LLC v. Kangaroo, LLC, 2024 WL 658205 (Fed....more

Proskauer - California Employment Law

Industry and Labor Serve Up $20 Minimum Wage Deal For Fast Food Workers

A two-year standoff between the fast food industry and labor unions ended this week as stakeholders announced a deal that will increase the minimum wage to $20 for California workers at fast food chains with more than 60...more

Lathrop GPM

Tennessee Federal Court Compels Arbitration in Fraudulent Inducement Case and Grants Preliminary Injunction Enjoining Enforcement...

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A federal court in Tennessee granted franchisor Frost Shades’ motion to compel arbitration of franchisee Lunt’s fraudulent inducement of contract claims, but the court also granted in part franchisee Lunt’s request for a...more

Lathrop GPM

Oklahoma Federal Court Grants Franchisor’s Post-Termination Motion for Preliminary Injunction Related to Trademark Infringement

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A federal court in Oklahoma granted franchisor Pizza Inn, Inc.’s motion for preliminary injunction preventing two former Pizza Inn franchisees – Odetallah and Allen’s Dynamic Food – from operating competing pizza restaurants...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

Jackson Lewis P.C.

Preliminary Injunction GRANTED Against AB 257 Enforcement & Implementation

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While the Secretary of State continued to count signatures to determine if a potential referendum challenging the FAST Recovery Act (AB 257) will make it on the ballot, the Sacramento Superior Court has issued a preliminary...more

Lathrop GPM

Connecticut Federal Court Denies Franchisee’s Motion for Temporary Restraining Order Following Termination

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A federal court in Connecticut denied a franchisee’s motion for a temporary restraining order permitting it to operate until the court could hear a preliminary injunction motion. A.B. Corp. v. Dunkin' Donuts Franchising, LLC,...more

Lathrop GPM

The Franchise Memorandum - Issue # 268 (Distribution Issue)

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Welcome to The Franchise Memorandum by Lathrop GPM. Periodically, The Franchise Memorandum focuses on topics primarily of interest to companies that use distributors and dealers rather than manage a business format franchise...more

Lathrop GPM

The Franchise Memorandum - Issue # 266

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Welcome to The Franchise Memorandum by Lathrop GPM. Below are summaries of recent legal developments of interest to franchisors. Post-Termination Injunction: Noncompete Covenants - California Federal Court Enforces...more

Lewitt Hackman

Franchisee 101: Bad to the Bone

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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

Lathrop GPM

The Franchise Memorandum - Issue # 265

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Welcome to The Franchise Memorandum by Lathrop GPM. Below are summaries of recent legal developments of interest to franchisors. Fraud/Misrepresentation - Minnesota Federal Court Rules that Fraud and Misrepresentation...more

Bennett Jones LLP

A Clarified Approach to Pure Economic Loss Claims

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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

Lewitt Hackman

FRANCHISOR 101: Not at Liberty to Compete

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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

McDermott Will & Emery

No Damages for Plaintiff Since Dry Cleaner Agreed to Hang Up Trademark Use

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The US Court of Appeals for the Eighth Circuit affirmed a permanent injunction enjoining a dry cleaner franchisee from using plaintiff’s trademarks but explained that plaintiff was not entitled to punitive damages, costs or...more

Orrick - Trade Secrets Group

THANKSGIVING EDITION [FROM THE ARCHIVES]: Court Protects Quizno’s Franchise Turkey Trade Secrets

This Thanksgiving, Trade Secrets Watch is serving a delicious tale about protecting trade secrets in a franchising relationship. In 1994, Quizno’s entered into a franchise agreement with Robert Kampendahl, an...more

Lewitt Hackman

FRANCHISEE 101: What to Do About Franchisor’s Harmful New Policies

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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

Lewitt Hackman

FRANCHISOR 101: Protecting Interests in Preliminary Injunctions

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A franchisor in a termination dispute with a franchisee may request a preliminary injunction to force the franchisee to immediately stop operating the franchised business and using the franchisor's trademarks and intellectual...more

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