SBA Announces Streamlined SBA-backed Lending Procedures for Franchisors

Lending Procedures for Franchisors

In November 2016, the SBA announced a streamline of the SBA-backed lending procedures for many franchisors. This process was refined in February 2017 and again in October 2017, and the latest round of revisions is set to take effect on January 1, 2018. Most notably, there is a new SBA “registry” (the “SBA Franchise Directory,” maintained by the SBA itself) that will provide a centralized list of every franchisor whose

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Joint Employment Moving in the Franchisor’s Direction

Joint Employment Moving in the Franchisor’s

In a helpful step for franchisors, the National Labor Relations Board voted 3-2 on December 14, 2017,to overrule their prior decision in Browning-Ferris Industries, 362 NLRB No. 186 (2015) (“Browning-Ferris”), and return to the standard that had governed issues of joint-employer liability before Browning Ferris. Moving forward, parties will be considered joint employers under the National Labor Relations Act (NLRA) if there is proof that one has directly and immediately exercised control

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Helpful Guidance To Franchisors On Implementing New Revenue Recognition Standards

Helpful guidance to franchisors

FisherZucker partner Joe Dunn was part of the IFA taskforce charged with addressing how the new standard alters the way in which franchisors can recognize initial franchise fees in their audited financial statement.  After much consultation with the SEC and the Financial Accounting Standards Board (FASB), which governs auditing standards in the United States, we’re pleased to say that we’ve obtained some helpful clarity and guidance. Under the present standard,

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Senior Partner at FisherZucker represents Mister Softee Franchise chain in lawsuit

Senior Partner at FisherZucker represents Mister Softee Franchise chain in lawsuit

Senior partner from Fisherzucker represented Mister Softee franchise chain. http://www.pressofatlanticcity.com/news/wildwood-mister-softee-stand-shuts-down-amid-lawsuit-second-stand/article_c6e287e7-57c4-5d1b-bf52-5016fc7ee191.html

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Alternative Dispute Resolution: Striving for Open Communication between Franchisor and Franchisee

Alternative Dispute Resolution Striving for Open Communication

At the beginning of every franchise relationship, even if everything starts on the best of terms, it is always important to think about how you might handle any issues that may arise.  If a franchisee later becomes disgruntled, how is your system prepared to respond? In the franchise context in particular, before jumping to expensive litigation, the franchisor should consider alternative dispute resolutions in order to find a resolution. As

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How Franchisors can Prove Irreparable Harm in an Uncertain Legal Landscape

How Franchisors can Prove Irreparable Harm in an Uncertain Legal Landscape

Ever since eBay, Inc. v. MercExchange, L.L.C.in 2006 and Winter v. Nat. Resources Defense Council, Inc.in 2008, the United States circuit courts appear to be split over whether a franchisor has a presumption of irreparable harm if trademark infringement exists when seeking an injunction.  In the years following these two cases, some circuits have decided to abandon the presumption altogether while some have kept it. Due to this circuit split

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Personal Guarantee… Don’t Leave Home (and Go International) Without It!

Personal Guarantee

                In most franchise relationships where the franchisee is an LLC, corporation or other business entity, the franchisor will require the individual or corporate owners of that entity enter into a form of guarantee whereby such owner(s) agree to: personally guaranty the monetary and other obligations of the franchisee entity under the franchise agreement; and be personally bound by the obligations and covenants

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Fisher Zucker Attorney Presents at the International Franchise Association’s 50th Annual Legal Symposium

Fisher Zucker attorney Max Staplin has been selected to present at the 50th Annual International Franchise Association (IFA) Legal Symposium on May 7-9, 2017, at the JW Marriott in Washington, D.C.  Max will be presenting on the topic of franchise system changes and has collaborated with Andraya Frith of Osler, Hoskin & Harcourt LLP to prepare an article on the topic.  The article, titled “Ch-ch-ch-ch-changes: Implementing System Changes, Upgrades and

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Clearly Worded Contracts Help to Prevent Litigation Related to Franchise System Change

Clearly Worded Contracts Help to Prevent Litigation Related to Franchise System Change

                  As franchise systems grow and expand, franchisors often feel the need to implement various changes such as altering distribution channels, changing product offerings, modifying design or architecture of franchise locations or introducing technology upgrades.  These types of changes can be perceived as disruptive to franchisees who have grown comfortable with the established franchise system.  If the system change is not clearly

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Fisher Zucker LLC Promotes Two Attorneys to Firm Partnership

Fisher Zucker LLC Promotes Two Attorneys to Firm Partnership

Senior Associates David J. Allsman and William R. Graefe, III join Leadership Team to Support Firm’s Growth and Expansion Fisher Zucker LLC, a full-service law firm dedicated to franchise, distribution and licensing, announces the promotion of David J. Allsman and William R. Graefe, III to partner. Allsman and Graefe each have more than a decade of experience handling matters specific to the unique needs of the franchise community, and are well-positioned

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