MacDonald Quoted on Franchising Implications As First Circuit Considers Independent Contractor Test in Patel v 7-Eleven

Bloomberg Law
ArentFox Schiff’s Franchise and Distribution Practice Leader Ann MacDonald was quoted by Bloomberg Law on the relationship between franchisors and franchisees, as the U.S. Court of the Appeals for the First Circuit heard oral argument in Patel v. 7-Eleven, a case where application of wage-and-hour laws to certain franchises is at issue.

Ann explained that many franchisees do not want to be treated as employees because they like having the independence to run their business as they see fit, while using the franchisor’s trademarks and systems.

Ann also highlighted that most franchisors are not trying to skirt wage-and-hour laws, they just have a relationship with their franchisees that is fundamentally different from the one that employers have with their employees.

Ann, who has written previously about this case, further emphasized the importance of understanding this business context when considering the impact of the ongoing court proceedings.

Read the full article here.


Continue Reading