Area development and multi-unit franchise agreements are commonly used to facilitate the orderly expansion of a franchise system by granting a developer the right—and obligation—to open multiple locations within a defined territory over a specified period. Central to these agreements is the development schedule, which establishes the timing and sequence for opening each location. The…
POSTED IN: Franchise Law, News
A franchise is a complex business relationship governed by a franchise agreement, which gives the franchisee the right to operate a business using the franchisor’s brand, system, and other intellectual property in exchange for ongoing fees. But this relationship becomes increasingly complex as a franchisee owns more units or locations. Multi-unit and multi-brand franchisees continue…
POSTED IN: Franchise Law, News
For a franchisee, entering into a franchise agreement with a franchisor is just the first step in their new journey to entrepreneurship. Following the execution of the franchise agreement, the franchisee will simultaneously go through the franchisor-required training while also making one of the most important decisions in the process—selecting the location of their business. This location…
POSTED IN: Franchise Law, News
In commercial real estate, the legal instruments that govern leasing and financing relationships are more than just contractual formalities—they are the bedrock of security for all parties involved. For tenants and landlords alike, Subordination, Non-Disturbance and Attornment (SNDA) agreements, alongside Estoppel Certificates, stand as critical defenses against the unpredictability of property markets and financial upheavals….
POSTED IN: Articles & Quotes, Commercial Real Estate
Franchising is a method of distributing products or services through the license of a brand and a system. It can be a lucrative growth strategy for a business (the franchisor) as it allows a business to grow its brand through providing the use of its intellectual property to others (the franchisee) in exchange for certain…
POSTED IN: Corporate & Business, Franchise Law, Hospitality Practice Group, News
“The key to success of many franchise systems lies in establishing and maintaining great locations. In addition to the franchise agreement, the commercial lease is a fundamental document in any brick and mortar franchise. Given the competing interests of franchisees, franchisors, landlords, and lenders, legal issues abound at the intersection of real estate and franchise…
