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Log In / Register | Sep 23, 2017
Legal news that affect small businesses and franchises, or legal advice for franchise owners

Hundreds Rally in Chicago to Protest New Sky-High Tax on Sweet Drinks

Hundreds gathered in downtown Chicago to protest Cook County's tax on sweetened beverages, which is scheduled to go into effect on Saturday, July 1. The tax is one penny per ounce, which may not sound like much, but amounts to a 68¢ price hike on a 2-liter soft-drink bottle and 72¢ for a six-pack.

New York City Fast Food, Retail Employers Face New Hurdles with Latest Wage and Hour Bills

Photo by P Steinberg

New York City Mayor Bill de Blasio has signed into law five bills imposing significant wage and hour restrictions on retail and food industry employers, which could change the way they schedule and communicate employee working hours. The laws will go into effect November 26, 2017.

Beer Brewer's Wrongful Termination of Beer Dealer Turns Out to be Grist for the Mill for Beer Distributor

The U.S. District Court for the Western District of Washington recently ruled that a terminated beer franchisee could sue the beer manufacturer for non-statutory damages caused by the franchisor’s termination of the distribution contract without cause.

Department of Labor Rescinds Joint-Employer Guidance

Franchisors were elated to hear yesterday that the federal Department of Labor had rescinded its Obama-era joint-employer interpretation.

Franchisee's 7 Denny's Restaurants Abruptly Closed over State Tax Owed

Seven southern Colorado Denny's restaurants closed down overnight, seized by the state for taxes owed. Employees of franchisee Cooper Restauranteur [sic] and Consulting Group were assured Monday afternoon at a meeting that the restaurants were doing fine and that there was no cause for concern. Late that night calls were made telling employees they were out of a job as of right then.

Posting Calorie Counts on Menus NOT Easy; Laws Should Be Scrapped

Baylen Linnekin, food lawyer, scholar, and adjunct law professor, writes that contrary to what may be presented as fact, posting calorie counts on menus is not easy and moreover is often expensive. Further, research shows that calorie displays are not effective in stemming obesity, he maintains.

FDA Extends Deadline for Calories on Menus

The U.S. Food and Drug Administration announced yesterday that it is putting off for a year the deadline for mandatory calorie disclosures on menus. Enforcement was scheduled to start this Friday, May 5, 2017, but has now been delayed until May 7, 2018.

Domino's Franchisee Asks Trump for Quick Stop to Obama-Era Calorie Display Law

The new federal law setting forth calorie display requirements on restaurant menu boards goes into effect May 5. But what is an owner to do when the food his restaurant serves has over 34 million possible combinations?

Australia Introduces Protection against Wage Fraud Aimed at Franchise Systems

7-ElevenAustralia's federal executive government has introduced new legislation that some feel will end grievous acts of exploitation by employers, which has been ignored by franchisors. Specifically named is the 7-Eleven franchise system. 

Shadow Battle over Joint Employer Ruling Taking Place in State Legislatures

"Business groups and conservative activists" led by the International Franchise Association, which was founded by franchisors, are fighting to undo the National Labor Relations Board joint employer ruling by lobbying at state legislatures. They have succeeded in getting state lawmakers to pass legislation that defines the relationship between franchisor, franchisee and franchisee employees away from joint employer.