Legal Question in Business Law in California
A health club franchisee left a pre-recorded advertizement on my telephone answering machine in violation of the federal Telephone Consumer Protection Act that allows suits to be filed in small claims court. Should I sue the local franchisee or should I sue the franchise itself?
2 Answers from Attorneys
Depends who placed the call. To clarify, the company that sells the franchises to the franchisee is called the franchisor, not the franchise. Often franchisors will provide promotional consideration as part of what the francisee pays the franchise fee for. Other times the franchisee pays an advertising fee which they get refunded, or get paid back $1.25 on the dollar when they demonstrate that they have been promoting the business. So you'd have to find out who arranged for the call.
If the franchisee placed the call, it would be difficult to hold the franchisor liable for this. Contact a franchise attorney for advice if you think all this is worth your effort, time and money.
Kevin B. Murphy, B.S., M.B.A., J.D. - Mr. Franchise
Franchise Attorney
www.franchisefoundations.com
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