The Business Record reported this week on a federal court lawsuit recently filed by local fitness franchise Farrell’s Extreme Bodyshaping, Inc. against Kosama, another fitness franchise headquartered in the Des Moines area. Both franchises specialize in a 10-week body "transformation". Farrell’s is the established franchise in the area marketplace while Kosama is the upstart. Both appear
Business Law
Buying an Existing Franchise Location: Transfer Fee is Negotiable
By Rush Nigut on
One of the provisions in most franchise agreements is a provision that requires the selling franchisee to pay a transfer fee to the franchisor. This transfer fee is sometimes $10,000 or more. I have represented a number of prospective franchisees that are buying an existing franchise location. In almost every instance the seller expects the buyer to pay for this transfer fee.
Noncompete Agreements: Stopping Former Employee From Soliciting May Not Protect Business
By Rush Nigut on
In drafting noncompete agreements, employers and their lawyers often drafting language that prohibits a former employee from soliciting the customers or clients of the employer. The problem is this language often does not go far enough to protect the former employer.
This scenario occurred in a recent case we handled for an employee. He was…
Brick Gentry Legal Webinars Coming Soon
I am really pleased to report that we have made significant progress on Brick Gentry’s legal Webinars. We hope to have them up and running within the next couple of months. My first Webinar will be on franchise due dligence.
Keep a look out for our new Brick Gentry Web site developed by CreateWowMarketing.
Impact of Healthcare Reform on Business
On March 23, 2010, President Barack Obama signed the Patient Protection and Affordable Care Act (“PPACA”), as amended by the Health Care and Education Reconciliation Act of 2010 into law. This new law changes the provision of healthcare in the United States more than any recent legislation. The impact and implementation of this new law will take…
Iowa Business Incorporation and LLC Services
In an effort to streamline the process for setting up Iowa corporations and limited liability companies, I now have a form you can find by clicking the red button on the right hand side of the blog. The button will direct you to the form to fill out so you can provide me the information necessary to get…
PorticoHR Social Media & Human Resources Seminar
I am looking forward to speaking on June 9th at the PorticoHR Social Media & Human Resources Seminar. Should be a fun panel with pulic relations and social media strategist Claire Celsi and Sam Mandolfo of LinkedIn also speaking.
PorticoHR is a provider of temporary and direct-hire staffing in Central Iowa. It is owned by Katie Roth who…
Iowa Intellectual Property Attorney Brian Laurenzo Joins Brick Gentry
Brick Gentry, P.C. is excited to announce that intellectual property attorney, Brian Laurenzo, has joined the firm as a shareholder effective June 1, 2010. Brian was most recently the head of the intellectual property practice group for the Des Moines office of Dorsey & Whitney.
Brian brings a tremendous amount of experience in patent, trademark and copyright law. He has a broad…
Iowa Fitness Franchises Growing
By Rush Nigut on
The Business Record has an article on a couple of Iowa fitness franchises that are apparently growing at an impressive clip. In the past I wrote a post questioning whether fitness franchises are a solid investment. Based upon my experience in representing a number of franchisees in the fitness industry, I would say the competition is fierce…
No Franchise Disclosure Document? Franchisor Not Ready to Operate
By Rush Nigut on
Recently a prospective franchisee asked me to review an agreement from a franchisor. When I asked about the franchise disclosure document, I was told the franchisor did not have one. This is not the first time this has happened.
No matter how great the product or service may be, if the franchisor has not taken…