For many entrepreneurs, opening a franchise business is the realization of a longtime goal. Hard work and sacrifice go into any type of business endeavor. However, the built-in benefits of owning a high-profile franchise are numerous, ranging from name recognition to...
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Termination/Nonrenewal
Manufacturer or Distributor Cancellation of a Dealer Franchise: “Just Provocation” Under South Dakota Statute
Intro If you are a franchised dealer, then odds are your contract contains terms regarding the circumstances under which your dealership may (or may not) be terminated. But did you know that you may also have some statutory termination protection as well? Many...
What to do if faced with franchise agreement termination or non-renewal
For a franchisee, wrongful termination or non-renewal of a franchise agreement poses a serious threat to the business you’ve worked so hard to establish. It can often occur unexpectedly and for seemingly no reason. However, depending on your unique circumstances, you...
Franchise Renewal: Rights, Obligations, and Notices
Franchise Renewal: Rights, Obligations, and Notices When prospective franchisees are investigating a franchise opportunity, they tend to focus on the terms that will have the most immediate impact on them—the amount of the initial franchise fee, the ongoing royalty...
If a franchisor refuses to renew, what are the franchisee’s remedies?
If a franchisor refuses to renew, what are the franchisee’s remedies? I’ve been doing this work for franchisees and dealers for a long time and this issue about renewal comes up more and more often. I used to argue (I’ve given up, because I’ve been unsuccessful) that...
What are the rights of the franchisee when facing termination by the franchisor?
What are the rights of the franchisee when facing termination by the franchisor? Generally speaking, most operators of franchises and dealerships have an expectation that if they do the job, they’re going to be able to continue so long as they’re capable of...