Franchisors Walk a Fine Line

August 6, 2004
HR Magazine, August 2004
When determining liability, most courts look at whether the franchisor had the right to control both the means and details of the process used by the franchisee to run the business. For example, courts have let franchisors enforce specific standards that help achieve and maintain quality systemwide—as long as they do not control “the time, manner and method of performing daily operations,” says Joseph Schumacher, chair of the franchise and distribution practice group at the Philadelphia law firm of Wiggin & Dana LLP.