Recent Blog Posts

Should Your Quick-Service Restaurant Franchise System Sell Alcohol?

Faye Lucas

Published April 27, 2017

Taco Bell Canada recently announced that it will start selling liquor at certain Canadian locations in an attempt to grab more Millennial market share. Though somewhat atypical for quick-service restaurants, alcohol sales could dramatically increase top line sales for franchise systems. While this would mean higher royalty streams for franchisors, does it make sense long-term?

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Class Action Basics – Why do class actions exist?

Mohsen Seddigh

Published April 25, 2017

With class actions, many people no longer have to suffer in silence because their potential claim is too small to justify a lawsuit. Access to justice is the most important reason for the existence of class actions.

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Franchising a Cannabis Business: What is the Law and Where is it Going?

Marta Jankovic

Published March 27, 2017

If legalization becomes a reality, we can expect storefronts that sell cannabis products (commonly known as dispensaries) to try their hand at franchising their business concepts.

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How do Franchisors Make Money?

Allan Dick

Published February 27, 2017

Franchising is one way of many by which a business can expand. The key ingredient that a business must have that wants to consider expansion through franchising is something that someone would want to license from it to use in the operation of an independently owned business.

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Questions about Disclosure Following the Raibex Decision?

Faye Lucas

Published January 17, 2017

Lawyers are often asked to prepare franchise disclosure documents (“FDDs”) for franchisors prior to a location being secured. Practically speaking, some franchisors do not want to undertake the cost and effort and possible risk of finding and securing a site unless they have a committed franchisee. Franchisors consider franchisees to be committed only once they have signed a franchise agreement or at least paid some initial franchise fee or deposit. While this is a common business scenario, the legal framework is fraught with risk as exemplified by the recent Ontario case, Raibex Canada Ltd. v. ASWR Franchising Corp., 2016 ONSC 5575 (“Raibex”).

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Rescission Insurance: Mitigating Risks For Franchisors

Marta Jankovic

Published January 3, 2017

As the franchise business model continues to flourish across Canada, managing statutory liability risks continues to be a concern for franchisors. Franchisor insurance has long been available to American franchisors. Insurers have recently turned to Canada as a good market for their franchisor insurance products.

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Ontario to ring in the New Year with more Land Transfer Taxes

Louis Alexopoulos

Published December 6, 2016

In his fall fiscal update on November 14, 2016 the Minister of Finance for the Province of Ontario took the not-unprecedented opportunity to announce an increase in Land Transfer Taxes payable by purchasers of real estate in Ontario. Effective January 1, 2017 purchasers of commercial real estate will have to pay Land Transfer Tax to […]

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U.S. Insight: Using Customer Feedback to Evaluate Franchisees

John Sotos and Jennifer Staines

Published November 30, 2016

Consumer reviews are integral to an individual’s decision to purchase a product or service. By extension, reviews are intertwined with a business’s success.  In the world of franchising, customer feedback serves a dual purpose – not only does it drive business (or detract from it), but it also operates as an effective tool for franchisors […]

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Social Media and Copyright: Can I Post that Photo?

Jennifer Staines

Published November 21, 2016

Most businesses now use Facebook, Instagram, Twitter, LinkedIn and other social media platforms to promote their services or products. But when a business posts a photo on Facebook or another site, who is the copyright owner and what rights do others have to use or disseminate that photo?

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The Endean decision of the Supreme Court of Canada promises greater coordination of national class action settlements

Jean-Marc Leclerc

Published November 3, 2016

In a recent decision, Endean v. British Columbia, 2016 SCC 42 (“Endean”), the Supreme Court of Canada concluded that class action judges in a national class action can sit outside their home province to hear and approve class action settlements with judges from other provinces. Prior to the decision, the issue was in doubt, raising constitutional questions and issues about territorial jurisdiction.

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