Recovering the Value of Preferential Transfers of Goods or Equipment: Seller Beware
March 26, 2008
Imagine you are an equipment manufacturer. You sell $45 million in goods to a reliable customer on credit, shipping them to a third-party warehouse to be held for the customer to pick up when needed. Months later, unable to pay and sliding toward bankruptcy, the customer returns the unused equipment. The next thing you know, the customer, having filed for bankruptcy, sues YOU to recover not only the $45 million value of the returned equipment, but also an additional $55 million in cash payments the customer had made.
Truck Leasing in a Down Economy: How to Prepare
March 26, 2008
The apparent downturn of the economy is currently most prevalent in the trucking sector, which saw a dramatic increase in repossessions and liquidations in the past year. This article discusses strategic options for lessors.
News Briefs
March 26, 2008
Highlights of the latest franchising news from around the country.
Movers & Shakers
March 26, 2008
News about lawyers and law firms in the franchising industry.
Court Watch
March 26, 2008
Highlights of the latest franchising cases from around the country.
Termination Notice Traps: How to Avoid Common Mistakes
March 26, 2008
Often, franchisors assume there is a 'one size fits all' termination notice and that their notice will, in fact, terminate the relationship. All too often, however, a poorly drafted or ill-conceived termination notice provides ammunition for a wrongful termination claim, justification for the unenforceability of post-termination provisions, or even rescission of the franchise agreement.
False Advertising: Eleventh Circuit Makes It Harder for Franchisees to Bring Cases Against Franchisors
March 26, 2008
In a battle of fast food restaurants, a local Florida Burger King franchisee sued McDonald's for false advertising, only to have the Eleventh Circuit Court of Appeals rule that the franchisee could not show that it had standing to bring its claim, despite the fact that the franchisee directly competed against McDonald's restaurants. The ruling highlights a split in the circuit courts that may have to be resolved by the Supreme Court, as the ruling differs from the law of other circuits that generally have allowed 'direct competitors' of the advertiser to sue for false advertising as long as they allege they have been injured by the ad.
Contacting Class Members Before and After Class Certification: The ABA's View
March 26, 2008
A question often faced by counsel in a class action is whether to contact absent class members. Pre-certification communications, for example, can be valuable to develop a more complete evidentiary record on the issue of whether a class should be certified in the first place. Courts have not always agreed whether therules of professional conduct permit these communications. American Bar Association Formal Opinion 07-445, issued in April 2007, supports the view that the rules of professional conduct permit these valuable communications before a class is certified.