KFC Franchisees Win More Say On Chicken Ads

Law360, New York (February 2, 2011, 4:26 PM EST) -- KFC Corp. must take direction on the content of advertising campaigns from a powerful corporate committee made up largely of franchisee representatives, a Delaware court has ruled.

Vice Chancellor Leo E. Strine Jr. made the decision Monday in Delaware Chancery Court, coming down on the side of the franchisees after sorting through reams of evidence on the intended meaning of KFC's corporate bylaws that, he quipped, was "more Mississippi mud brown than Menemsha blue in clarity."

But Vice Chancellor Strine stopped short of granting the plaintiff,...
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