Kit Represents Franchisors in Disputes and Litigation with Franchisees and Third Parties

Franchisors can face disputes in virtually all aspects of their operations. When disputes arise, franchisors need to know their strengths and weaknesses so they can quickly make informed and strategic decisions, as unnecessary delays can lead to avoidable costs and other undesirable consequences. Kit advises franchisors regarding pending disputes with franchisees and other third parties and provides effective legal representation for mediation, arbitration, and litigation when necessary.

Franchisor-Franchisee Disputes

Disputes with franchisees require a delicate touch. Oftentimes, an aggressive approach to franchise agreement enforcement will sow discord within the franchise system—as dissatisfied franchisees often will not hesitate to air their grievances. With that said, when franchisors need to take legal action, they need to be decisive, and they must be prepared to move forward with a clear end goal in mind.

Kit represents franchisors in informal efforts to resolve disputes with their franchisees. Kit also represents franchisors in mediation, arbitration, and litigation. Kit’s franchisor disputes and litigation practice encompasses all issues arising within the context of the franchisor-franchisee relationship, including those related to:

  • Franchise agreement breaches and defaults
  • Failure to follow the Brand Standards as stated in the Operations Manual
  • Refusals to renew
  • Refusals to approve transfers
  • Franchisee terminations
  • Enforcement of franchisees’ post-termination obligations
  • Franchisee claims under state registration and disclosure laws

Other Disputes and Litigation

Along with franchisor-franchisee disputes, Kit represents franchisors in other types of disputes and litigation as well. Just like other businesses, franchisors can encounter issues in numerous areas—from internal issues involving owners and employees to external issues involving vendors and competitors. Kit provides representation for disputes involving parties including (but not limited to):

  • Partners and shareholders
  • Lenders and equity investors
  • Employees
  • Vendors
  • Franchisees’ customers
  • Competitors, IP owners, and other third parties
  • Regulatory authorities

An Efficient and Cost-Conscious Approach to Dispute Resolution

At Kit Franchise Law, Kit takes an efficient and cost-conscious approach to dispute resolution for franchisors. Kit works to negotiate amicable resolutions when it is in the client’s best interests to do so, and he will never litigate for litigation’s sake. Kit views litigation as a tool to be used only when it is needed—no more and no less.

In many cases, the most efficient way to resolve a dispute is to address it proactively. For example, if you are aware that a franchisee is dissatisfied and may be thinking about triggering mandatory mediation or arbitration, it may be best to address the issue head-on. Likewise, if you need to take legal action to protect your company’s interests against an IP infringer or another third party, letting the issue linger is only likely to lead to more costs and challenges down the line.

Schedule an Initial Consultation at Kit Franchise Law

If your company is facing a dispute with a franchisee or any other party, Kit can help you decide how best to move forward. To discuss your company’s options with founding attorney Kit Higgs in confidence, please call 513-223-3125 or tell us what we can do to help online today.