GAO Creates Study Group on Franchising

At the request of Congress, the Government Accountability Office (GAO) is developing a study on issues involving franchising up to and including the FTC Franchise Rule and its enforcement. In that vein, the GAO has asked DDIFO to assist getting franchisee volunteers to participate. The GAO is an independent, nonpartisan agency that conducts research for…

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Senate Kills Weil Nomination

On Wednesday of this week, the Senate effectively ended the nomination of Dr. David Weil for another stretch as the administrator of the US Department of Labor Wage and Hour Division. On a procedural motion to advance consideration of the Weil nomination, the Senate voted 53-47 against consideration, with three democrats – Senators Manchin (WV),…

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FTC Nominee Bedoya Advances

On the flip side of the nomination coin, also on Wednesday of this week, Senate Democrats voted 51-50 to advance the nomination of Alvaro Bedoya to serve as a Member of the Federal Trade Commission (FTC). The Bedoya nomination was tied up in a deadlocked (14-14) Senate Commerce Committee and needed to be advanced by…

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Court Rules Franchisees May Be Employees

Last week, the Massachusetts Supreme Judicial Court ruled that the independent contractor statute also applies to the franchisor-franchisee relationship and does not conflict with the FTC Franchise Rule 7-Eleven franchisees may in fact qualify as employees under the state ABC test. With its decision in Patel v 7-Eleven, Inc. the court in some ways “threaded…

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States Targeting Tip Credit Rules

Potentially significant changes are on tap for the tip credit rules in a number of jurisdictions around the country. Pennsylvania has already adopted a significant change that will quadruple the tip income requirement necessary for an employer to use the tip credit. Currently, the Pennsylvania minimum wage law requires employers paying the tipped minimum ($2.83…

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Workers Vote Starbucks Union #8

Workers at yet another Mesa Arizona Starbucks coffee shop have voted to unionize under the flag of the Starbucks Workers United banner, an affiliate of Service Employees International Union (SEIU). By a vote of 11-3 with one ballot challenged, workers won their eighth union representation vote out of nine tries nationwide. And speaking of unionizing…

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Economic Trends

It seems like a mixed bag looking at some of the March surveys on consumer confidence and sentiment. A Conference Board survey of consumer confidence released earlier this week showed a slight rebound in March – the first increase on the year – even as many remain skeptical. However, some experts report that the improvement…

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Upcoming CFA Webinar & Lobby Day

On Monday, April 4, we will host an outstanding – and very timely – CFA webinar entitled “Encroachment and Cannibalization in Franchising!” This don’t-miss one-hour program, beginning at 1:00 PM EDT, will feature top franchise attorney Robert Zarco, founding partner of the nationally renowned law firm Zarco, Einhorn, Salkowski & Brito P.A. He will discuss…

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Dunkin’ Doings

Dunkin’ President Scott Murphy announced this week that Chief Marketing Officer Rafael Acevedo was stepping down and leaving the company to pursue other opportunities. Acevedo’s tenure at Dunkin’ was short-lived. He was hired just 9 months ago to fill the position left vacant almost two and a half years ago with the departure of then-CMO…

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DHS Ending I-9 COVID Exception

The US Department of Homeland Security (DHS) last week announced that it was ending the temporary COVID-19 policy allowing employers to accept expired documents when verifying work eligibility on the Form I-9 over the next month. Beginning on May 1, 2022, employers must return to the pre-COVID norm where only unexpired documents may be accepted.…

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