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The Earned Sick Time Act (“ESTA”) was set to go into effect at midnight, February 21. In a last-minute legislative compromise, the House...
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In addition to royalties, most franchisors collect fees from franchisees to finance the marketing and advertising for the franchise system. These contributions are spent for the promotion of the brand in the manner disclosed in the franchise disclosure document.
Managing a marketing/advertising fund is not always straightforward, however. Franchisors should consult with experienced counsel who specialize in this area of franchise law. Our team can offer franchisors practical advice in adequately administering funds and remaining transparent with franchisees. We can help set up separate business entities to simplify the tracking of collections and expenditures. We can prepare franchise disclosure documents and franchise agreements that include marketing/advertising fund provisions. We can advise on the appropriateness of expenditures and tax implications of managing a marketing/advertising fund. We can defend against allegations of improper use of marketing/advertising funds.
Quality marketing and advertising increases the value of brand reputation, which in turn inspires consumer confidence and drives growth. Whether you currently have a marketing/advertising fund or are looking to start one, our attorneys have the experience to help you mitigate risks and understand your responsibilities related to your franchise’s advertising fund.
Whether you are exploring franchising for the first time or operating a well-developed franchise system, our franchise attorneys can answer your questions and advise you on the best course of action.
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The Earned Sick Time Act (“ESTA”) was set to go into effect at midnight, February 21. In a last-minute legislative compromise, the House...
Read MoreA new mandatory paid sick time law will go into effect for all Michigan employers soon. After a lengthy legal battle, the Michigan Supreme C...
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Read MoreThe US Department of Labor (DOL) published a final rule on October 28, 2021, that brings back the 80/20 rule that was used by the DOL until ...
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Read MoreAt Fahey Schultz Burzych Rhodes PLC, we’ve been helping municipalities, franchised businesses, employers, and more with their legal needs since 2008. We’d love to learn how we can help you, too.