The International Franchise Association an opponent of franchise-protection legislation argue that franchising is already a “highly regulated industry.” This contention seems highly suspect considering the many blatant stories of franchise abuse by shady companies that violate franchise disclosure laws with impunity, and established franchisors who seem to hold all the cards in the franchise relationship. […]
Universal Franchisee Bill of Rights Makes An Impact
The Universal Franchisee Bill of Rights (UFBOR) was released in August 2011 and to date has over 1,200 franchisees, friends of franchisees, and franchisee associations that have endorsed it. The UFBOR was created by franchisees for franchisees as a fairness doctrine, and the goal was to highlight the imbalance in the relationship between franchisees and […]
The IFA Has No Risk by Claiming “the Sky is Falling” in Maine
Recently the International Franchise Association (IFA) sent out its IFA Insider Newsletter (Vol. 19, Issue No. 47 ) with the following wake-up call to franchisors “next month the Maine legislature will address LD 1458 (Maine Small Business Investment Protection Act), the most far-reaching and harmful franchise relationship legislation in any state in the country”. They […]
ABA Legal Wizard Abrams Asks for Good Faith in Franchise Law Reform
Enact State and Federal Good Faith & Fair Dealing laws to overrule devious franchise contract provisions. Janet Sparks writes at Blue MauMau that franchisee attorney Lee Abrams had no problem playing along with last year’s American Bar Association Forum on Franchising’s theme in its plenary session, “If I Had a Wizard’s Wand,” expressing his wish […]
Maine Source of Frustration. Maine Franchise Owners Associations Seeks Anecdotes of Franchise Owner Troubles
Many Maine residents have found both a profitable living and vibrant job creation for their region via an investment in a franchise system. Others have been less fortunate – facing financial ruin from a franchise model that either did not work or a franchisor that didn’t care. Franchise failure often leads to financial ruin, loss […]
Under the Hood: Franchise Owners Sue AAMCO
The News4 I-Team was the first to take you “Under the Hood,” inside AAMCO repair shops, over the summer. exposed questionable work, dozens of complaints and even shop owners who said, they, too, were misled by the company. Now some franchise owners are taking action, revealing the world of auto repair that, they say, customers […]
The Need for Voiding Out State Venue Clauses for Franchise Owners
Peter Lagarias posted at BlueMauMau a very compelling argument as why it’s important to pass legislation in each state to void litigation forum/venue clauses and allow litigation or dispute resolution in occur in the State the franchise owner has his/her business. Here are is an excerpt: Most franchise agreements provide for venue of franchise lawsuits […]
Franchisors and Franchisees Face Off in Pennsylvania on the Franchise Protection Bill
Don Sniegowski of Blue MauMau writes that an investment protection act for franchise owners, House Bill 1620, is being proposed in Pennsylvania. Franchisee associations are asking for support from Pennsylvania’s franchise owners. The act aims to establish remedies and penalties for franchise owners experiencing abusive franchising practices. The bill would create a fiduciary responsibility of a franchisor […]
Avis Lawsuit Represents What’s Bad in Franchising
Edward Kushell writes on BlueMauMau that he was an expert witness for Robert Halcro and Alaska Rent A Car in the recent case that awarded $19 million to the Avis franchise owner in Alaska. Edward Kushell is president and founder of The Franchise Consulting Group. He has been a franchisor with 400 units, a multiunit franchise […]
Franchise Legislation May Soon Be A Reality In British Columbia
Article by Pam Vermeersch and Juliana Mah, Gowling Lafleur Henderson LLP posted at Mondaq In October 2012, the British Columbia Law Institute (BCLI) began a project to bring forth recommendations for a Franchise Act for British Columbia. So far, five of the 10 provinces in Canada have franchise legislation. Provinces that have enacted franchise legislation are: Alberta, Ontario, […]