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Lawsuit allegation and claim from franchisee against the franchisor

7-Eleven Fires Independent Panelists Determining Worker Underpayment

SYDNEY – After two hand-picked independent panelists made the decision that 7-Eleven must pay 400 store employees up to $400,000 each in back pay, the corporate office halted the process last week, fearful that the total amount could skyrocket.

Lots of Meat Left on the Bone for Franchisees & Franchise Lawyers

During my preparation of an analysis of a very recent New Jersey federal court decision involving a gasoline franchise dispute (South Gas v. ExxonMobil,  2016), I was sidetracked by a fourteen year-old franchise decision by the same court -- Beilowitz v. General Motors Corp., 233 F. Supp.2d 631 (D.N.J. 2002).

Edible Arrangements Accused of Illegal Text Spamming

A sign outside at an Edible Arrangement franchise

WALLINGFORD, Conn. – A putative class action lawsuit was filed last week against Edible Arrangements claiming the franchisor sent mass unauthorized automated text messages to consumer cell phones in marketing its fruit and candy bouquets, which is a clear violation of federal law.

Two Dickey’s Franchisee Cases Stayed Pending Arbitration Decision

An abandoned Dickey's barbecue. photo/sniegowski

BALTIMORE - A federal court in Maryland stayed two cases brought by franchisees against Dickey's Barbeque stating that the pending arbitration decision in Trouard v. Dickey's Barbeque Restaurants, Inc. may preclude the need for litigation.

Court Says Jimmy John’s Franchisee Violated NLRB Act in Firing Employees

Jimmy John's workersMINNEAPOLIS – An appeals court last Friday affirmed a ruling by the National Labor Relations Board that a Jimmy John's franchisee illegally fired workers who launched a poster campaign against its sick leave policy, a protected concerted activity.

Liberty Tax Franchisee, Employees Indicted in Maryland Tax Fraud Scheme

Maryland AG Brian Frosh shows fraudulent tax return
Maryland AG Brian Frosh points to tax return. Photo/Maryland

BALTIMORE – A grand jury last week indicted a Liberty Tax Service franchisee and eight employees in a tax fraud scheme that involved enticing homeless people and others to file false income tax returns to generate preparation fees for their company.

Brazilian Prosecutor Indicts McDonald’s, Opens Criminal Probe

Photo by BerlinRosen, public relations firm for SEIU

SAO PAULO, Brazil – As the fight against McDonald's intensify across the globe, a federal prosecutor in Brazil has now handed down his indictment against the fast-food giant on suspected tax evasion and violations of the country's franchise and competition laws.

California Hits Conner Again with Desist Order, This Time with Tomii Massage Franchise

SACRAMENTO – Franchise consultant Christopher Conner is once again in trouble with California franchise regulators, and is currently bracing for the department's final judgment and penalties. While this is the state's second enforcement action against him and a client, the Commission is now seeking an injunctive order against Conner, stating he is a risk to prospective franchisees.

EEOC Sues Franchisee for Firing HIV-Positive Worker

A Subway restaurant in central Indiana has been sued by the Equal Employment Opportunity Commission for firing one of its employees who revealed he was HIV-positive.

McDonald’s Warns of 'Joint Employer' Doomsday while Profits Grow

McDonald's Now HiringMcDonald's has a lot on its plate this new year. Not only is it battling bad publicity from fast-food workers striking across the globe for better pay, it is also awaiting trial under the National Labor Relations Board that will determine if it and its franchisees are "joint employers," holding both responsible for alleged labor violations against the franchisees' workers.