Franchisors Must Act Fast For Contract Breach Injunction
October 22, 2013, 1:11 PM EDT
Law360, New York (October 22, 2013, 1:11 PM EDT) -- A recent case from the U.S. Court of Appeals for the Eighth Circuit reaffirms the important principle that a franchisor, or any business, that seeks a preliminary injunction to prevent harm from a covenant breach must act quickly. The case is Novus Franchising Inc. v. Dawson, --- F.3d ----, (8th Cir. 2013).
Novus operates automotive glass repair franchises and its principal place of business is in Minnesota. Michael Dawson purchased a Novus franchise in Virginia for two counties, including the Richmond metropolitan area. The 2008 franchise...