Legal Question in Business Law in California

I am planning to sue a franchisor, however, can I also name the franchise in the lawsuit as well?


Asked on 10/21/09, 1:40 pm

3 Answers from Attorneys

I think you may be mis-using the terms "franchisor" and "franchise." The franchisor is the business that sells and supports the franchises. So, for example, McDonald's, Inc. is the franchisor that sells McDonald's franchises. The franchise is the set of legal rights and obligations between McDonald's, Inc. and the person or smaller corporation that buys and operates the franchise business. The person or smaller corporation is called the "francisee." The franchisee owns rights to use the logo's, trademarks, advertising, trade "dress" (the specially designed look of franchise stores), recipe's, etc., that belong to or were developed by the franchisor, in the francisee's franchise business.

Now that you understand the terminology, please re-post your question, and perhaps add a little detail as to what you think your basis might be for suing the franchisor or franchisee or both, since the grounds for your lawsuit would affect whom you can sue in a franchise situation.

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Answered on 10/21/09, 3:26 pm
Bryan Whipple Bryan R. R. Whipple, Attorney at Law

Why aren't you using a lawyer?

It is certainly possible to name more than one defendant in the same lawsuit. It is frequently done. Sometimes, it is legally necessary to add parties to a complaint -- for example, in a quiet-title suit, the plaintiff must name all known or suspected adverse claimants, including secured lenders.

In a negligence case, most lawyers would want to name anyone whose negligence might have contributed to the injury, or who is legally responsible for the conduct of the negligent party, such as his employer. It is customary to include "Doe" defendants in case an additional party or two need to be named later.

Caution should be exercised, however. Sueing "everyone in sight" can have bad results. First, you'll have to serve them all, not just with the original summons and complaint by personal service, but all through the case you'll be mailing sets of documents to all the defendants' lawyers. You'll have to answer multiple sets of discovery demands. You may have to attend multiple hearings on demurrers and various motions. Finally, if your case against a defendant is truly baseless, the party may counter-sue later on for malicious prosecution.

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Answered on 10/21/09, 3:31 pm
Kevin B. Murphy Franchise Foundations, APC

It all depends on the facts and circumstances, which are not disclosed in your question. Best of check with a franchise attorney before doing anything.

Kevin B. Murphy, B.S., M.B.A., J.D. - Mr. Franchise

Franchise Attorney

www.franchisefoundations.com

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Answered on 11/29/09, 4:15 pm


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