The Texas Supreme Court, answering a certified question from the Fifth Circuit Court of Appeals, held that the application of a state dealer law to an agreement entered into before the law’s passage did not violate the Texas Constitution. Fire Protection Serv., Inc. v. Survitec Survival Prods., Inc., 2022 WL 1815046 (Tex. June 3, 2022).
The Seventh Circuit Court of Appeals recently affirmed the dismissal of a retailer’s complaint that a manufacturer violated the Wisconsin Fair Dealership Law by terminating it as an authorized retailer without cause or sufficient notice. Watch Co., Inc. v. Citizen Watch Co. of Am., Inc., 2022 WL 1535262 (7th Cir. May 16, 2022).
A federal court in Illinois denied a motion to dismiss a beverage distributor’s claims for alleged violations of the Illinois Franchise Disclosure Act. Rhine Enters. LLC v. Refresco Beverage US, Inc., 2022 WL 2439966 (S.D. Ill. July 5, 2022).
Subject to court approval, franchisors Jiffy Lube and Papa John’s have agreed to settle separate putative civil class actions alleging that anti-poaching provisions previously included in their franchise agreements violated antitrust law. In re: Papa John’s Employee and Franchisee Employee Antitrust Litig., No 3:18-cv-00825-BB-RSE (W.D. Ken. July 27, 2022); Fuentes v. Jiffy Lube Int’l, Inc., No. 2:18-cv-05174-AB (E.D. Pa. July 22, 2022).
The Eleventh Circuit Court of Appeals recently affirmed an award of fees incurred in seeking confirmation of an arbitral preliminary injunction. Vital Pharm. v. Pepsico, Inc., 2022 WL 2066406 (11th Cir. Jun. 8, 2022).
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The Franchise Memorandum is a collection of postings on summaries of recent legal developments of interest to franchisors brought to you by Lathrop GPM LLP.
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