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Forklift dealer held to be a Missouri franchise

Smith Gambrell & Russell LLP
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USA
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November 14 2012

A federal district court ruled that a forklift dealer's relationship with its manufacturer constituted a "franchise" under the meaning of the Missouri Merchandising Practices Act, and that the manufacturer had violated the MMPA by failing to give the dealer only 22 days' notice of termination, instead of the statutorily mandated 90 days' notice

Franchisors liable for criminal acts at franchised stores

Smith Gambrell & Russell LLP
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USA
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November 14 2012

In a pair of recent decisions, California courts ruled that franchisors may be vicariously liable for criminal acts occurring at their franchisees' stores

FTC clarifies franchise rule's "exclusive territory" disclosure

Smith Gambrell & Russell LLP
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USA
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November 14 2012

On October 16, 2012, the Federal Trade Commission answered an additional "frequently asked question" regarding the 2007 amendments to its Franchise Rule

Arbitration clause valid despite claim of economic duress

Smith Gambrell & Russell LLP
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USA
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November 14 2012

Applying Connecticut law, a federal district court upheld the validity of an arbitration clause in an investment advisor franchisee's arbitration agreement despite the franchisee's claims of economic duress and unequal bargaining power

System for producing hot pizzas not a trade secret

Smith Gambrell & Russell LLP
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USA
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November 14 2012

A federal court in South Dakota dismissed claims brought by restaurant franchisor Little Caesars seeking an injunction against a franchisee from offering "all day, every day ready-for-pick-up pizzas"

FTC announces increases in exemption thresholds

Smith Gambrell & Russell LLP
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USA
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July 16 2012

The FTC recently announced that dollar thresholds for various exemptions have increased, as contemplated under the 2008 Franchise Rule amendments

Massachusetts law tabled; Vermont vote upcoming

Smith Gambrell & Russell LLP
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USA
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July 16 2012

Massachusetts has tabled a law similar to California's proposed "Level Playing Field of Small Businesses Act," discussed in the previous issue of our Franchise Law Newsletter

Workers' comp - Georgia

Smith Gambrell & Russell LLP
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USA
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July 16 2012

House Bill No. 548, approved on May 1, 2012, makes Georgia the first state to adopt legislation that prohibits a franchisee from being considered an employee of its franchisor

Missouri franchise law does not apply to liquor supplier-wholesaler relationship

Smith Gambrell & Russell LLP
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USA
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July 16 2012

A federal appellate court declined to apply Missouri franchise law to an oral business relationship between a supplier and a liquor wholesaler

New disclosure requirements - Washington

Smith Gambrell & Russell LLP
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USA
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July 16 2012

The state of Washington has updated its disclosure requirements under the Franchise Investment Protection Act to better align with the Federal Trade Commission's Franchise Rule