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What a ‘Shark’ and a Futurist Taught Me About Franchising

In late March, I had the pleasure of attending the Multi-Unit Franchising Conference (MUFC) in Las Vegas. I find franchising summits invaluable for staying ahead of legal and operational trends in the industry and connecting with NY franchisees and multi-unit...

April 2025, Julie Lusthaus Named Franchise Times Legal Eagle

We are thrilled to announce that Julie Lusthaus has been recognized as a Legal Eagle by the Franchise Times for the 12th consecutive year! This prestigious honor highlights her unwavering commitment and expertise in franchise law. Congratulations, Julie, on this...

How Franchisees Can Strategize During FDD Renewal Season

New York franchisees—especially those in the process of signing or renewing franchise agreements—should be aware that March and April mark a key time in the franchise calendar: Franchise Disclosure Document (FDD) renewal season. New stressors may also emerge as we...

State and Federal Laws Affecting Your NY Franchise: 2025 Q1 Roundup

Lusthaus Law offers insights into the regulations and legislation affecting franchising at the state, federal, and industry levels. Important changes occur regularly, along with new concepts designed to enhance and regulate the franchising sector. As we close out Q1...

Corporate Transparency Is Back… For Now

In December 2024, we highlighted legislative developments at the state and federal levels that impact New York franchisees and franchisors. One key issue was the federal Corporate Transparency Act (CTA), which seems to be in a constant state of debate and legal...

How Multi-Brand Franchise Operators Can Thrive in 2025

Franchising enjoys a reputation as a reliable business model because, when executed effectively, it allows owners to scale their brands efficiently and cost-effectively. Franchisees who have been successful with their initial locations may consider expanding...

Franchisees, Is 2025 Your Year To Renew?

As you plan your goals and priorities for 2025, one crucial item should top your list: renewal dates. Franchisees do not have an unlimited right to operate their franchise businesses, which is why they must understand and act on renewal dates. Let’s dive into what...

NY Franchises: What To Expect In 2025

We recently reflected on legal developments in franchising in 2024, along with anticipated changes to governing agencies and policies in 2025. Recent media coverage about state wage increases and the potential priorities of the incoming presidential administration can...

NY Franchising: 2024 Review

Legislative developments at the state and federal level impacted NY franchisees and franchisors in 2024. And if ideas floated by the next Trump administration materialize, then both franchisees and franchisors will need to strategize with their NY franchise lawyers...

How The Cross-Default Clause Affects Area Developers

Area developers, also known as multi-unit operators, will often see the term “cross-default” in their franchise agreements. Though the term might look like standard legalese, cross-default provisions can make or break an area developer’s units and progress.  NY...

Why Your Franchise Lawyer Needs Commercial Leasing Experience

NY franchisees acquiring rights to develop brick and mortar franchises must have commercial leasing on their radar when signing their franchise agreement. How, where and when you lease space for your business can often impact overall profitability. Let’s discuss...

Video Blog: Julie Lusthaus Reviews Methods for Business Expansion

https://vimeo.com/1008433380?share=copy Methods for Business Expansion [0:00] Many business owners think about expanding their business, and there are several ways to do that. These include direct expansion, joint ventures and partnerships, licensing and franchising....

Model Franchise Broker Registration Act: A Deeper Dive

Lusthaus Law recently provided a high-level overview of the Model Franchise Broker Registration Act, which was proposed in May 2024 by the North American Securities Administrators Association (NASAA). Our clients and readership requested that we launch into a bigger...

Mid-Year 2024 Franchise Developments 

Lusthaus Law likes to provide perspective on the rules and laws impacting franchising on state, federal or industry levels. Critical developments arise, as do new ideas intended to strengthen and govern franchising. Let’s discuss a few updates that might affect your...

Maintaining Quality Standards in Franchising

The brand and the reputation of a franchise is rooted in quality. Customers expect the same level of service and quality in each franchise location they visit. Those who do not feel they have received value for their dollar will go to the competition and maybe even...

Rebranding Tips For Franchisors and Franchisees

Rebranding is a hot topic in franchising. Just look at the world’s most recognizable donut franchise system, whose locations continue to shorten its two-word name to just one: Dunkin’.  This rebrand was actually announced in 2018 and began in 2019. But systemwide...

April 2024, Julie Lusthaus Named Franchise Times Legal Eagle

Last year, Julie Lusthaus was nominated to the Hall of Fame for being a Legal Eagle 10 years in a row. This year is no different, as she just landed her 11th year in a row on this exclusive list. Learn more about this nomination in the link here.

Federal District Court CTA Ruling May Impact Your Franchise

On March 1, the U.S. District Court for the Northern District of Alabama found the Corporate Transparency Act (CTA) unconstitutional in a case filed by the National Small Business Association (NSBA).  We recently reported how the CTA could impact franchising in New...

Video Blog: Julie Lusthaus Answers Common Franchise Questions

https://vimeo.com/919713384?share=copy Video Transcript: What Are Some Important Franchising Terms? [00:05] I'm often asked to explain various franchise terms like who's who, the franchise relationship. Let's start at the beginning. Franchising is a strategy for...

Why Franchisors Should Update FDDs and Franchise Agreements Now

With 2024 in full swing, February is the ideal time for franchisors to start the Franchise Disclosure Document (FDD) renewal process. Let’s discuss why. FDD Basics Franchisors are required by federal and state law to prepare an FDD. Its 23 items provide necessary...

Legislative Update Pt. 1: Clarifying Transparency Laws in 2024

The franchising industry will undoubtedly be impacted by new laws and updates to existing laws this year. With 2024 in full swing, let’s review legislative developments at the state and federal levels that may impact New York franchisors and franchisees.  Corporate...

Exploring FDD Item 3: Litigation

Pursuant to federal and state law, Franchisors are required to provide prospective franchisees with a franchise disclosure document (FDD) to enable franchisees to make informed decisions about whether to purchase the franchise. This documentation is crucial to...

The Basics of Licensing in Franchising

We recently discussed some of the most frequently used franchising terms and one concept touched upon was licensing. Licensing is at the core of franchising – but can sometimes be mistaken for it – which is why it deserves its own installment. Let’s review licensing...

Franchisees, Is It Time To Renew?

In franchising, it is always better to be ahead of the game. This is especially so for franchisees, who are not provided with an unlimited right to operate their businesses. Let’s discuss what franchisees need to know about renewing their franchise agreement and how...

Understanding Frequently Used Franchising Terms

In franchising, the right legal team matters. So does the right business term. Franchising concepts and words are used interchangeably, but anyone considering entering this exciting area of business should be able to distinguish and contextualize these terms. Let’s...

Four Must-Have Qualities Of Your Franchise Lawyer

Franchising can be an exciting endeavor. Whether you are expanding your business model with single-unit or multi-unit offerings or considering acquiring rights to develop and operate franchises, it is important to contain your enthusiasm before signing a franchise...

FDD Basics: Understanding Item 1

Franchisors are generally required to provide prospective franchisees with a franchise disclosure document (FDD) before a franchise agreement is signed or any consideration is paid for the franchise. The FDD includes information about the franchisor, the franchise...

Why You Need a Franchise Attorney with Commercial Leasing Experience

Location can play a major role in a franchisee’s success. Most franchisors require their brick-and-mortar franchisees to find the site for the franchise business. However, most franchisors also require that the franchisee obtain the franchisor’s consent to the lease...

How the Sausage is Made: Confidential Information and Your Franchise

News about classified documents have dominated headlines this year. It reminds me of a key provision in a franchise agreement, specifically pertaining to confidential information. Franchisees should not reveal their franchisors’ private information. As direct as that...

Legal Traffic Holds Up Minimum Wage Boost For NY Delivery Workers

In a recent Insights installment, we discussed the new minimum wage rates for certain delivery workers in New York. Unsurprisingly, related legal developments and delays have arisen.  Today we will provide an update on the status of the new law and its impact on...

Mid-Year Franchise Developments

We like to close each quarter with news or legal updates impacting franchising on state, federal or industry-wide levels. Critical developments continue to occur, including one that recently took place. Let’s discuss how select updates might affect your franchise. New...

Contacting Current and Former Franchisees

Julie Lusthaus recently had an article published in Practical Guidance about the franchise disclosure document receipt. One of the benefits to buying a franchise is that there are other franchisees in the system, as well as other franchisees who have recently left the...

The Franchise Disclosure Document Receipt

Julie Lusthaus recently had an article published in Practical Guidance about the franchise disclosure document receipt. The Federal Trade Commission (FTC) Franchise Rule ("FTC Rule") and state franchise sales laws require franchisors to provide prospective franchisees...

Franchise Rules and Business Opportunity Rules: ‘Do Not Break’

In a recent Insights installment, we addressed business opportunity laws against the backdrop of franchise sales and relationship rules. Lusthaus Law’s readers and clients asked to know more about the Federal Trade Commission’s (FTC) Business Opportunity Rule and how...

Understanding Franchise Sales Laws and Franchise Relationship Laws

The goal of many franchisors is to expand their brand beyond their local jurisdiction and perhaps even nationwide. This broader presence can lead to mainstream recognition and the chance for lucrative business opportunities. But selling franchises that will be...

FTC Updates and Impact on NY Franchising

The Federal Trade Commission (FTC) has been focusing recently on the relationship between franchisors and franchisees. This has created a unique opportunity for franchise stakeholders to use their voices to influence policy. In addition to seeking comments about the...

Why Franchisors Need To Register With New York State

A local seafood franchisor found himself in hot water for failing to take some basic steps in filing with New York State. As recently discussed it was revealed earlier this year that BK Lobster, a Brooklyn-founded seafood restaurant, sold multiple franchises in New...

Franchising Developments: Q1 2023

NY Franchising Developments: Q1 2023 New York City franchises and laws are in the news and in courts. Additionally, NY franchisors and franchisees have the chance in the next month-plus to provide input to the Federal Trade Commission (FTC) on improving franchise...

Women Franchise Leaders On The Rise

Women may have more reasons to celebrate their achievements in franchising beyond March and Women’s History Month. Business and trade publications have indicated that 2023 is an ideal time for women to enter and excel in the field of franchising. Guidant Financial...

Expansion Options for Multi-Unit Operators in 2023

Growth comes in many forms. Whether you are a franchisor who wants to broaden your presence in a particular market, or a franchisee who is ready to develop more than one location, multi-unit expansion might be the best way to accomplish your goals. Let’s look beyond...

More Reasons to Update Your Franchise Agreement in 2023

Societal and consumer needs regularly change, and franchise lawyers should update their franchise agreement to reflect major developments and innovations. Franchisors and franchisees must continually adapt to new technologies, online behaviors and service and delivery...