Gallet Dreyer & Berkey, LLP | Case Studies
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Case Studies

  • We represented a Florida franchisor who was sued by a Connecticut franchisee in federal court, for more than $2 million in damages for allegedly breaching the franchise agreement. After a four-week jury trial, we obtained a verdict against the franchisee for unpaid royalties, and the franchisee recovered nothing on his claims against the franchisor.
     
  • We represented a franchisee for a tanning salon, that was not able to find a suitable location and wanted to rescind the agreement. We made a demand against the franchisor for rescission, on the theory that the franchisor had violated the disclosure obligations in the Federal Trade Commission regulations and had misrepresented the requirements for the physical space that was required. After a formal mediation, we negotiated a favorable settlement for the franchisee, under which he recovered almost all of his fees and expenses.
     
  • We represented a franchisee placement agency who wanted to separate from the franchisor. The franchisee had entered into a renewal agreement, which modified certain terms, without providing the franchisee with a new UFOC. We negotiated a favorable separation for the franchisee, under which the franchisee could keep the customer lists, certain accounts receivable, and its location, and it could continue to operate under a different name. To obtain this agreement, we argued that the new agreement was illegal and that the post-term non-competition provisions were not enforceable, because they only applied if the agreement terminated, and not if it expired.
     
  • We represented a start-up franchisor for a bed and breakfast which caters to dog owners in preparing their franchise agreement and disclosure documents. As a result, the bed and breakfast has started to franchise its bed and breakfast concept.
     
  • We represent a successful British printing company franchisor in the preparation of master franchise agreements for expansion into the United States, and compliance issues.
     
  • We represent a successful dog obedience training franchisor in setting up a franchise system in the United States, including preparation of master franchise agreements and compliance issues.