The Unkindliest Cut of All – the FAST Act
And so we come to the ultimate affront to franchising. Responding to strong lobbying efforts by the Service Employees International Union
Continue Reading CALIFORNIA’S TECTONIC PLATES SHIFT — Part IIIThe Joint Employment Conundrum
Signed into law on September 18, 2019 by Governor Gavin Newsom, Assembly Bill 5 (commonly known as AB-5), took effect on January 1, 2020. AB-5 codified
Continue Reading CALIFORNIA’S TECTONIC PLATES SHIFT — Part IIA San Andreas Fault for Franchising
“California’s falling into the ocean!” Growing up in Southern California I heard that every time we had an earthquake. Usually, though, all I had
Continue Reading CALIFORNIA’S TECTONIC PLATES SHIFT — Part I
The second troublesome threat is the joint employment standard. The Obama Adminstration DOL caused angst in the franchise industry in January 2016, when it adopted a joint employment standard that
Continue Reading Franchising Threat No. 2: Joint Employment is BACK!
It was predictable – even inevitable – that the Biden administration would reverse much of Trump’s labor oeuvre. But no one could have predicted how quickly! In a little more
Continue Reading WHIPLASH! A stunningly fast reversal of labor policies
The one-two punch of state and federal employment standards activity poses an existential threat to franchising; many commentators, including this one, have acknowledged that fact. But why? Did the California
Continue Reading Unintended Consequences? The Employment Battle Threatens Franchising
Over the last 8 years or so, the ever-changing landscape of employment laws has arguably posed an existential threat to franchising. The franchise business model may not make sense if
Continue Reading Franchising on the Precipice: Unknowns in Transition
Hot on the heels of disappointing AB-5 news from California, a federal district court in Manhattan delivered a stinging rebuke to the Department of Labor (“DOL”), invalidating the control-based joint
Continue Reading Joint Employment in Chaos: DOL Joint Employment Rule Invalidated
In Part 1 of this series, we discussed the recent actions taken by Congress regarding the PPP program as well as the efforts by the Fed. In today’s post, we
Continue Reading A Summer Potpourri (Part 2): States Litigate Joint Employer Rule and NASAA speaks
In my recent post commenting on the Department of Labor’s joint employer rule, I wondered whether the NLRB would follow suit. Now we know, and the answer’s positive. It’s very
Continue Reading Franchising: Batting a Thousand in Spring Training!