The Franchise Owner's most trusted news source

Log In / Register | Jun 20, 2018

Franchisee-Franchisor Feud Continues with New Lawsuit

A franchisee-franchisor relationship gone bad continues to play out in court.

Employee Arbitration Clause Upheld

Employee litigation is a growing threat to business survival. A recent case shows franchise owners how to draft an employee arbitration provision which courts will uphold.

Arbitrator Failure To Disclose Related Case OK

Reversing Judge Scheindlin, the 2d Circuit Ct of Appeals says that repeated failure to disclose serving as a "neutral" on a related case does not warrant vacatur of the arbitral award.

Crisis Avoidance: The Real Way to Manage Disagreement

Lawsuits and arbitrations often sort out disputes in their legal sense. They rarely sort out disputes in a satisfactory personal or financial sense. Anyone familiar with the litigation and arbitration process can tell you about how unsatisfactory the result was in most instances. They cost a fortune.

"Manifest Disregard" Alive In 4th Circuit

Ultimately the Supreme Court is going to have to decide this one. The score is now 5-5 with one abstaining.

2d Circuit Charges Against Arbitration Class Action Waivers

Circuit courts are always polite when disagreeing with their bosses on the Supreme Court.

SCOTUS Holds Class Actions Waivers In Arbitration Agreements Are Enforceable

In a 5-4 decision of AT&T Mobility LLC v. Concepcion, No. 09-893 (April 27, 2011),  the U.S. Supreme Court held that arbitration agreements in standard form contracts that waive the right to pursue a class action are enforceable, and that the Federal Arbitration Act, 9 U.S.C. § 1, et seq., preempts a California court ruling to the contrary. 

Inability of 123 Fit Franchisees To Pay For Arbitration Not Grounds For Lifting Litigation Stay

Upholding a franchise arbitration clause, a California court rules that lack of financial resources is not grounds for lifting a stay.

Mandatory Arbitration and the Automobile Dealer Arbitrations

Congress is still considering the arbitration fairness act, which could include a provision banning mandatory arbitration in franchises.  This hasn't gained a lot of traction in the franchisee world because the thinking behind it is fundamentally misguided.

Glenn E. Davis of Gallop, Johnson & Neuman Secures $472,000 Arbitration Award

Glenn E. Davis of Gallop, Johnson & Neuman Secures $472,000 Arbitration Award for Medicine Shoppe International in Franchise Dispute Affirmed by Eighth Circuit Court