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Encroachment and Franchisee Claims of Constructive Termination
“Encroachment” is a term used in the franchise industry to describe sales and revenues being transferred from one location to another because of their proximity. If a new location is established near an existing franchise location, then it is possible that existing sales will be transferred from the old location to the new. Litigants sometimes claim the encroachment is so extensive so as to threaten the viability of the existing location. In these instances, claims have been asserted for constructive termination because the existing location is alleged to no longer be viable. More likely, the claim for constructive termination is not viable.
Measuring Impact
Impact attributed to a neighboring location triggers high emotions. The distance between the locations is one factor, but not the only one, and may ultimately be insignificant. The first rule is that initial impact is not actionable, because it is normal for a new location to attract attention and curiosity. Sustained impacts over months may be actionable, but legal theories to support such claims are thin. Absent a direct breach of a protected area, the franchisor has discretion to locate another location proximate to the complaining location in good faith.
Major Differences In UK, U.S. Copyright Laws
This article highlights how copyright law in the United Kingdom differs from U.S. copyright law, and points out differences that may be crucial to entertainment and media businesses familiar with U.S law that are interested in operating in the United Kingdom or under UK law. The article also briefly addresses contrasts in UK and U.S. trademark law.
Strategy vs. Tactics: Two Sides of a Difficult Coin
With each successive large-scale cyber attack, it is slowly becoming clear that ransomware attacks are targeting the critical infrastructure of the most powerful country on the planet. Understanding the strategy, and tactics of our opponents, as well as the strategy and the tactics we implement as a response are vital to victory.
The Article 8 Opt In
The Article 8 opt-in election adds an additional layer of complexity to the already labyrinthine rules governing perfection of security interests under the UCC. A lender that is unaware of the nuances created by the opt in (may find its security interest vulnerable to being primed by another party that has taken steps to perfect in a superior manner under the circumstances.
Removing Restrictive Covenants In New York
In Rockwell v. Despart, the New York Supreme Court, Third Department, recently revisited a recurring question: When may a landowner seek judicial removal of a covenant restricting use of her land?