Co-authored by Christopher Truxler and Coby Turner

Seyfarth Synopsis: Earlier this month, a California federal court dismissed the misclassification claims of 7-Eleven franchisees on the pleadings, finding they did not and could not plead facts sufficient to show that they were employees of their franchisor.

All is well with one of America’s most beloved convenience

Co-authored by Julie Yap and Billie Pierce

Seyfarth Synopsis: A federal court in California recently held that a franchisor cannot be held liable for labor code claims where it did not exercise control directly, or through an actual agency relationship with the employer, over the terms and conditions of the workers’ employment. The decision limits

Authored by Rachel M. Hoffer

It’s a common business model in the fast-food industry: a massive restaurant company provides the menu, the marketing—including catchy slogans and a universally recognized logo—and the basic operational standards for the restaurant,
and a franchisee provides the rest—including hiring, training, and firing restaurant employees. Unfortunately for the fast-food giants (the

Authored by Alex Passantino

Seyfarth Synopsis:  WHD is seeking to enter into compliance agreements with, among others, franchisors.  Whether an employer should take WHD up on their offer to sign on the line depends on a variety of considerations.

Expanding upon a relationship started in 2012, the U.S. Department of Labor’s Wage & Hour Division