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Court Watch

By Charles Miller, Darryl A. Hart and C. Griffith Towle
March 01, 2006

Temporary Staffing Franchisor Finally Gets It Right

Franchisors have often asked whether they have a reserved power to terminate a franchise agreement based on a material breach on the part of the franchisee that goes to the “essence” of the agreement. This question often comes up in the context of a franchisor not wanting to give a franchisee the opportunity to cure. According to the federal court in Wisconsin, the answer is no, but the same result can be achieved via rescission.

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