The Eleventh Circuit Court of Appeals has recently affirmed a summary judgment order dismissing all claims by an importer of new Chinese construction equipment alleging a conspiracy to boycott and tortious interference with contractual relations against three Caterpillar dealers. Int’l Const. Prods., LLC v. Ring Power Corp., 2023 WL 7127515 (11th Cir. Oct. 30, 2023).
The Seventh Circuit Court of Appeals affirmed an Indiana court's order dismissing a claim by inventor Thomas Russell that his exclusive distributor, Zimmer, Inc., failed to use commercially reasonable efforts to sell Russell’s products. Russell v. Zimmer, Inc., 82 F.4th 564 (7th Cir. 2023).
A federal court in Washington denied the State of Washington’s motion to dismiss an out-of-state distiller’s constitutional challenge to Washington’s distillery regulatory scheme. Shady Knoll Orchards & Distillery LLC v. Postman, 2023 WL 7004422 (E.D. Wash. Oct. 24, 2023).
A federal court in Puerto Rico denied a distributor’s motion for a preliminary injunction, finding that justice would not be served by reinstating the relationship between the parties after it was effectively terminated. Nilo Watch Parts. Inc. v. Rado Watch Co., Ltd., 2023 WL 5814264 (D.P.R. Sept. 7, 2023).
A federal court in Wisconsin recently denied a manufacturer’s motion to amend a previously issued injunction in which the manufacturer sought permission to sell products via Amazon.com. Brava Salon Specialists, LLC v. REF N.A., Inc., 2023 WL 7709310 (W.D. Wis. Nov. 15, 2023).
Franchisors may consider establishing an ESG (environmental, social and governance) policy to increase diversity and enhance diversity efforts within their franchise system.
A federal court in Virginia denied a franchisor’s motion for preliminary injunction against a former franchisee violating the franchise agreement’s post-termination noncompete. JTH Tax, LLC v. Younan, 2023 WL 6304865 (E.D. Va. Sept. 27, 2023).
The Eighth Circuit Court of Appeals has affirmed the denial of a motion to stay pending arbitration because the claims of the franchisor, Breadeaux’s Pisa, did not fall within the mandatory stay provision of the Federal Arbitration Act (FAA). Breadeaux’s Pisa, LLC v. Beckman Bros. Ltd., 2023 WL 6801149 (8th Cir. Oct. 16, 2023).
A federal court in Florida rejected a franchisee’s motion to vacate an arbitration award entered against it despite its arguments it did not have notice of the arbitration hearing. Your CBD Stores Franchising, LLC v. Buckwalter, 2023 WL 6676671 (M.D. Fla. Oct. 12, 2023).
A federal court in Tennessee recently granted a franchisor’s motion to compel arbitration, including as to questions of arbitrability, in response to a 15 count complaint brought by 54 separate franchisees. Anthony v. Van Over, 2023 WL 6317685 (E.D. Tenn. Sept. 27, 2023).
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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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