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Expert Analysis

A Few Lessons In Terminating Master Franchises

Law360, New York (July 9, 2014, 10:45 AM EDT) -- International expansion of a franchise system is often accomplished through master franchising, in which the master franchisee develops the territory, sells franchises, trains franchisees, and supports and oversees the franchisees in the market as if it were the franchisor. However, sometimes the relationship between the franchisor and master franchisee deteriorates, leading the franchisor to terminate the master franchisee. Larkin Hoffman's franchise litigation team received a favorable decision this year on a very significant international franchise termination case, which led to a number of lessons learned....

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