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Court Watch

By Susan H. Morton and David W. Oppenheim
November 01, 2003

Franchisor Not Liable for Franchisee's Alleged Negligent Supervision and Hiring

The Wisconsin Court of Appeals has affirmed a trial court's decision granting summary judgment to a franchisor and dismissing vicarious liability claims against it on the grounds that the franchisor did not, as a matter of law, have the right of control or actual control over the alleged negligent activity. Keri, et. al. v. Rasmussen, et. al., 2003 WL 22304593 (Wis. App. 2003).

The case involved a county jail inmate with work-release privileges who was an employee of Dennis Rasmussen, Inc. (“DRI”), an Arby's franchisee. On June 11, 1999, the employee left his shift at the Arby's restaurant, walked approximately 1/2 mile to a Wal-Mart store parking lot, and shot his former girlfriend and her fiance. And then he shot himself. The employee and the former girlfriend died, while the fiance was permanently disabled.

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