DETROIT — A federal judge in Michigan on Dec. 29 certified a class of female workers who sued a McDonald’s franchisee alleging that they were repeatedly physically and verbally harassed by a manager.
PASADENA, Calif. — A request by a pizza franchisor for a 14-day extension to file a petition for rehearing was granted Jan. 3 by the Ninth Circuit U.S. Court of Appeals, less than two weeks after the panel affirmed a trial court’s order denying the franchisor’s motion to compel arbitration in a putative class complaint by truck drivers asserting violations of California’s labor laws.
OAKLAND, Calif. — A sandwich franchisor accused in a putative class complaint of violating California’s unfair competition law (UCL) and other state laws by labeling its tuna salad, sandwiches and wraps as “100% tuna” while failing to prevent adulteration and “encouraging mixing or allowing non-tuna ingredients to make their way into the Tuna Products” moved Dec. 8 for dismissal of the second amended complaint, arguing that the complaint fails to show any false or misleading representations or damage to the consumers.
MILWAUKEE — The Equal Employment Opportunity Commission filed a complaint on Dec. 13 in a Wisconsin federal court accusing the operator of nine McDonald’s locations of violating federal law by failing to hire a class of Black applicants at its Milwaukee location.
CHICAGO — A federal judge in Illinois on Dec. 13 terminated a putative class complaint accusing a fast food franchisor of steering Black franchisees to Black communities where white franchisees refused to operate restaurants due to higher overhead costs and employee turnover after both sides in the case filed a joint stipulation of dismissal with prejudice on Dec. 10.
DENVER — A franchisor has no duty under Oklahoma law to protect a franchisee’s employee by advising her how to address her allegation that the franchisee sexually harassed her, the 10th Circuit U.S. Court of Appeals ruled Dec. 8 in an unpublished order, affirming the dismissal of a negligent misrepresentation claim against the franchisor.
ST. LOUIS — In a Dec. 7 filing in Missouri federal court, a plaintiff who was recently awarded $11.75 million by jurors on its allegation that Mast-Jägermeister US Inc. (Jägermeister) violated Missouri franchise law when it terminated a distribution agreement without good cause moved for an award of $3.4 million in attorney fees, arguing that “there can be no dispute” that it is the prevailing party in the case.
CHARLESTON, S.C. — A nationwide pet store franchisor won dismissal on Dec. 6 of allegations that it enticed consumers into purchasing unhealthy pets when a federal judge in South Carolina found, among other things, that a requirement that franchisees retain the services of a local veterinarian for regular dog and cat examinations is not akin to a guarantee of animal health.
ATLANTA — Just over four months after a Florida federal judge, acting in response to a limited remand by the 11th Circuit U.S. Court of Appeals, said it lacks subject matter jurisdiction over state law claims by an association of Tim Hortons franchises, the appellate court on Dec. 1 vacated and remanded the price-gouging dispute with instructions for a dismissal without prejudice.
WASHINGTON, D.C. — The U.S. Supreme Court on Dec. 13 declined to review the Federal Circuit U.S. Court of Appeals ruling that former Chrysler dealership franchisees failed to prove that their franchise agreements would have had a positive value but for the conditions the federal government imposed on a $4 billion bridge loan to the bankrupt automaker that required rejecting their franchise agreements.
SAN FRANCISCO — Salespeople at franchised dealerships who claimed that their business was harmed by Volkswagen’s emissions scandal failed to adequately allege that the car maker was their joint employer, the Ninth Circuit U.S. Court of Appeals affirmed Dec. 6 in an unpublished opinion.
NEW YORK — A federal judge in New York on Dec. 8 vacated an arbitration award concerning the control of franchisee sandwich shops in Russia, concluding that the arbitrator purported to render a decision on a claim that was reserved for trial.
DETROIT — A federal judge in Michigan on Dec. 6 issued two opinions granting summary judgment to a fast food franchisor but largely denying a partially motion for summary judgment by the franchisee in a putative class complaint by female former employees who allege that they were repeatedly physically and verbally harassed by a manager.
CINCINNATI — A Sixth Circuit U.S. Court of Appeals panel on Dec. 3 reversed a trial court’s dismissal of the claims remaining in a dispute involving a resale agreement between Ford Motor Co. and a company that sold Ford vehicles in the Middle East and instead granted the stay sought by Ford while the parties attempt to resolve the dispute before a tribunal, declining to adopt an absolute rule concerning a court’s discretion under the Federal Arbitration Act.
PORTLAND, Ore. — Less than a week after denying a renewed motion to certify a class of fast-food workers bringing various wage claims who allege in part that flaws in timekeeping systems caused improper compensation, a federal judge in Oregon on Dec. 1 declined to decertify a class of workers in the same suit on wage claims related to paycheck deductions for non-slip shoes that they were allegedly required to wear.
PORTLAND, Ore. — A federal judge in Oregon on Nov. 27 denied a renewed motion to certify a class of fast-food workers seeking wages and alleging that flaws in timekeeping systems caused improper compensation, finding that changes to the state law in 2010 meant that the named plaintiffs all last employed prior to the changes had claims that were not typical of class members with claims after the changes.
BOSTON — Massachusetts’ Independent Contractor Law (ICL) doesn’t apply to franchisors subject to the Federal Trade Commission’s Franchise Rule, 7-Eleven Inc. argues in its Nov. 12 appellee brief urging the Massachusetts Supreme Judicial Court to answer “no” to a question certified by the First Circuit U.S. Court of Appeals.
DAYTON, Ohio — Final approval of a $3.25 million class settlement between Papa John’s franchisees and delivery drivers who brought class and collective claims seeking reimbursement for actual expenses was granted by a federal judge in Ohio on Nov. 18.
WASHINGTON, D.C. — A Maryland company that owns two Dunkin franchises will pay civil penalties and back pay to settle claims by the U.S. Department of Justice (DOJ) that it discriminated against a permanent resident due to his immigration status by not allowing him to choose which valid documentation he wished to present to show that he was allowed to work, the DOJ announced Nov. 18.
NEWARK, N.J. — Individuals who worked for a tax preparation franchisor or franchisees and allege that there is a conspiracy to suppress compensation via no-poach agreements filed an amended class complaint in a federal court in New Jersey on Nov. 1 after a federal magistrate judge issued a corrected order that day permitting the plaintiffs to extend the class period to the present.