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Franchise 101: Challenging Every Shingle Claim; and A Multistate Twist
Franchisor 101: Challenging Every Shingle Claim A federal district court in Pennsylvania granted in part and denied in part a franchisor’s motion to dismiss a franchisee’s counterclaims alleging fraudulent inducement, negligent misrepresentation, and breach of
Franchise 101: A Rub in the Right Direction; and Side Hustles Can Bite Back
Franchisor 101: A Rub in the Right Direction A federal district court in New Jersey transferred a case brought by a New Jersey-based franchisee against its franchisor to the Eastern District of Missouri, where the
Franchise 101: A Taxing Move; and Trade Secrets That Tip the Scale
Franchisor 101: A Taxing Move A federal court in Missouri granted franchisor H&R Block’s motion for summary judgment, finding H&R Block could immediately terminate a franchisee’s franchise agreements without an opportunity to cure, after the
What Franchisors Need to Know About the Maryland Franchise Reform Act
In 2026, various states reformed franchise laws to significantly impact the franchisor-franchisee relationship. Recently, Maryland lawmakers approved legislation that follows this trend. On May 12, Gov. Wes Moore signed Senate Bill 415 and House Bill
Franchise 101: No Parent Trap; and Leaving A Light On, For Withheld Funds
Franchisor 101: No Parent Trap A group of franchisees filed a petition to compel arbitration against two franchisor entities and their parent company. The district court found that the franchisees failed to show the parent
Stronger Franchisee Protections Emerging in 2026 State Laws
It appears that franchisors will remain targets of state governments in 2026. Although a franchise system may not call a state with new legislation its home, franchisors and franchisees should stay informed about the potential
Franchise 101: Claim Preclusion; and Diversity Precedent
Franchisor 101: Claim Preclusion The federal district court in North Dakota granted a franchisee’s motion to dismiss a franchisor’s complaint for failure to state a claim and its motion for sanctions, finding the franchisor improperly
New Virginia Law Bans Non-Competes in Franchise Agreements
On April 13, Gov. Abigail Spanberger signed House Bill 69 and its companion Senate Bill 240 into law. The new legislation takes effect on July 1 and makes two major changes to the Virginia Retail
Franchise 101: When Franchisees Comb-Out; and The Unearthed FDD
Franchisor 101: When Franchisees Comb-Out A Utah federal court denied a motion by Larada Sciences, Inc. (“LCA”), a franchisor of lice clinics, for a preliminary injunction preventing a former LCA franchisee, The MIH Group, LLC
Franchise 101: Location, Location, Location! Forum Selection Clause Overcomes Jurisdictional Challenges; and Topped Off Appeal
Franchisor 101: Location, Location, Location! Forum Selection Clause Overcomes Jurisdictional Challenges A Louisiana district court held that a franchisee waived its right to remove a dispute with its franchisor from state court to federal court,