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Log In / Register | Mar 27, 2017

AAFD Chairman on Key Protections that Should Be in a Franchise Contract

    AAFD chairman Bob Purvin working on the words of a fairer franchise contract
Purvin leads franchisees & their franchisor to craft a fairer contract

Robert Purvin, founder and chairman of the American Association of Franchisees and Dealers (AAFD), spoke at length with this journal. Purvin is busy nowadays preparing the AAFD, a non-profit trade association that represents the rights and interests of franchisees, for a franchisee leadership summit from April 30 to May 3 in Palm Springs, California. The association will celebrate its 25th anniversary.

Appeal to Hold Saladworks Liable for Franchisee’s Employee Workers’ Comp Claim Dismissed

The Pennsylvania Supreme Court issued its decision on December 16, 2016 dismissing an appeal of a previous ruling. It ruled that franchisor Saladworks has no liability to its franchisee's employees for claims under workers' compensation laws.

Appeals Court Affirms Class Certification of Jani-King Franchisees-As-Employees Suit

In a lawsuit filed by two Jani-King franchisees, alleging they were wrongly classified as independent contractors instead of employees, an appeals court affirmed in September a ruling by the district court that the case could go forward as a class action against the world's largest commercial cleaning franchisor.

Franchisor McDonald’s to Settle with Franchisee’s 800 Workers in Wage-Theft Lawsuit, Paying $3.75M

McDonald's workersPresumably for the first time, McDonald's Corporation has agreed to settle claims that it was liable for labor law violations by a franchisee because it was a "joint employer" of the workers at five franchised restaurants in California.

IFA CEO Cresanti Seeks to Build Bridges with Franchisee Associations

IFA Legal Symposium
Lawyers gather for the IFA's 2016 Legal Symposium in D.C. (photo/sniegowski)

WASHINGTON – Robert Cresanti, CEO and president of the 56-year-old International Franchise Association, invites franchisees and their independent associations to join with the IFA in battling what he deems to be government overregulation that detrimentally impacts the franchise business model.

400 McDonald’s Workers Granted Class Status in Labor Violation Suit

McDonald's worker serving a customer (photo/bmm)

SAN FRANCISCO – A federal judge in California has granted class action certification for employees who worked at restaurants owned by a five-unit McDonald's franchisee, in a case alleging the company violated various labor laws.

McDonald’s NLRB Trial Canceled Due to Tech Glitches

NEW YORK - Administrative Law Judge Lauren Esposito in Manhattan adjourned the National Labor Relations Board trial Monday, in session to determine if McDonald's is a 'joint employer' with its franchisees and can be held liable for alleged labor violations in their restaurants.

Employees May Pursue California Labor Code Claims against McDonald’s on Theory of Ostensible Agency

SAN FRANCISCO - A federal court in California issued a ruling in the pending employee class action, Ochoa v. McDonald's Corp. et al. in September. Its finding was that the employees of a McDonald's franchisee may pursue claims at trial against McDonald's on the theory that the franchisee is McDonald' ostensible agent.

Hotel Sexual Servitude Case to Test ‘Joint Employer’ Ruling

CHICAGO - A Fairfield Inn housekeeper, an African-American single mother of three, two with disabilities, has filed a lawsuit against an assistant manager of the Marriott hotel claiming he forced his sexual advances on her.

Not only is the now-terminated employee holding franchisee TMI Hospitality Inc. responsible, she is also naming Marriott International Inc. as joint employer with the franchisee, due to its direct and indirect control over essential working conditions at the hotel.

CFA Urges Franchisees to Oppose the NLRB's Joint Employer Definition

Last week, the U.S. House Labor Appropriations Subcommittee approved its annual spending bill for fiscal year 2016. Included in this bill is a provision that prevents the National Labor Relations Board (NLRB) from enforcing its joint-employer standard, which redefines the franchisor/franchisee relationship and, if not defunded, would destroy the franchise business model.