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Log In / Register | Jun 23, 2018
Lawsuit allegation and claim from franchisee against the franchisor

CFA Opposes Joint Employer while Addressing Franchisor Control

On July 29, 2014, the National Labor Relations Board (NLRB) issued an Advice Memorandum (“memo”) which would greatly expand liability for franchisees across the country.

Jared’s Ex-Wife Sues Subway Claiming Corporate Knew about Child Sex Abuse

Subway interior

After repeatedly denying it had received any complaints about celebrity pitchman Jared Fogle requesting sex with children while promoting its brand, Subway and its Franchisee Advertising Fund are now facing a lawsuit filed on behalf of Jared's former wife and children.

Volvo Truck Franchisee Asks Court to Uphold $6.5M Jury Award

Volvo 2016 VNL 670 Model (Photo: Thecohorts, CCBY-SA 4.0,

After a jury in Indiana district court awarded a truck dealership $6.5 million last year, finding Volvo Trucks North America breached its franchise agreement through price discrimination, the franchisee is now asking the federal appeals court to uphold the award while the U.S. Court of Appeals for the Seventh Circuit in Chicago is hearing the appeal of the lawsuit.

Franchisee Termination Litigant Again Shattered by Esoteric Damages Rules

My article last month on franchise termination litigation set forth a somewhat detailed assessment of the law of damages in a franchise termination context, concluding in part that:

Workers File 15 EEOC Complaints against McDonald’s Claiming Sexual Harassment

(Photo from FightFor$15 Facebook page)

While McDonald's promotes its zero tolerance for workplace sexual harassment in its 14,000 restaurants across the country, 15 female workers claim the hamburger chain is not enforcing its policy. To prove it they have filed complaints with the Equal Employment Opportunity Commission, not only against the franchisor but also against franchisees.

Lawsuit Unsealed Accusing El Pollo Loco of Stock ‘Pump and Dump’ Tactics

El Pollo Loco HQ, Costa Mesa, Calif. (photo: El Pollo Loco website)

COSTA MESA, California – An investor lawsuit in Delaware was unsealed last month alleging that directors and officers of fast food chain El Pollo Loco concocted a "pump and dump" stock scheme in 2015, allowing them to pump up the value of stock through false public statements and financials, and then dumping over six million shares before the true dismal numbers were released.

US, European, Labor Unions Support Probe into McDonald’s Tax-Avoidance Structure

McDonald's worker
Striker: “McDonald's can easily afford to give us a raise." photo/Fightfor$15

An international trade union coalition representing 32 million workers has again expressed its strong support for European governments to beef up their investigation into McDonald's corporate structure that allowed it to register a cumulative revenue of €3.7 billion between 2009 and 2013, on which it reported only €16 million in taxes.

Subway ‘Footlong’ Case Now Argued before Federal Appeals Court

After an Australian teenager's Facebook posting went viral in 2013, showing in a photo how his Subway signature "footlong" sandwich fell short of its name by an inch, inspiring plaintiff lawyers to jump in with lawsuits, and resulting in a settlement, the Subway sub fiasco is not over yet.

Ex-Workers File Putative Class Action Claiming Celebrity Wahlburgers Stole Wages

Wahlburgers meal
Photo by Joey Newcombe

NEW YORK – Five former workers filed a class action lawsuit last week against Wahlburgers restaurants and three of its franchisee entities and their officers, claiming widespread wage theft.

Judge Allows Class Action Worker Wage Theft Litigation to Proceed

Photo: McDonald's Workers Take a Break

A district judge in California ruled last week to allow a class action lawsuit alleging wage theft to go forward, even though he remained unconvinced that McDonald's Corporation exercises enough control over working conditions in the franchise stores to be held liable for fair wage and overtime claims.