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Managing 'Perfect Storm' Litigation for a Franchise System

A franchise system may find itself in a no-win situation in which all potential solutions or avenues of escape lead to a result that is tantamount to death of the system: bankruptcy, closure of the system, or a dramatic change in the system's business and sources of revenue. This article provides 10 litigation management measures that outside counsel and the system should take to manage perfect storm litigation.

16 minute read May 31, 2012 at 08:30 AM
By
Jeffrey L. Fillerup and James A. Goniea
Managing 'Perfect Storm' Litigation for a Franchise System

A “perfect storm” is a detrimental or calamitous situation or event arising from the powerful combined effect of a unique set of circumstances. A confluence of events, including major litigation against the franchisor, can create a “perfect storm” setting for a franchise system.

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