Surprise! You may be involved in a franchise relationship and not even know it.
If you entered into a franchise agreement, you'd know it,right? Not necessarily. In several recent cases, companiesterminating distributor relationships were surprised to learn thatthe law considered them franchisors, subject to state franchiselaws.
"Most people, including lawyers, think a franchise isMcDonald's or Ramada Inn," says Edward Dunham, a partnerin the New Haven, Connecticut, law office of Wiggin & Dana whospecializes in franchises. But legislatures designed franchise lawsto protect a wide range of small businesses that depend on theirrelationships with particular companies.
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