MAIN OFFICE:

18851 NE 29th Avenue
Suite 303
Aventura, FL 33180
Phone: 305-929-8500
Fax: 305-675-0564

Map & Directions

SATELLITE OFFICE:

315 S. Calhoun Street
Suite 850
Tallahassee, FL 32301
Phone: 850-391-5060

Map & Directions
Call 305-929-8500 Today
Kurkin Forehand Brandes LLP

Auto Dealership And Commercial Litigation Law Blog

Dealing with negative online reviews

Negative online reviews may be an unpleasant reality for businesses. But, there are business law restrictions governing how businesses can deal with negative reviews. The Federal Trade Commission approved final orders resolving complaints against five companies charged with violating the Consumer Review Fairness Act.

The five firms included a flooring company and two timeshare marketers. According to the FTC's complaints, these firms violated the CRFA by having customers agree to non-disparagement contracts that prevented customers from writing or posting online reviews or which imposed financial penalties for posting these reviews. The FTC announced the complaints in May and June. The FTC's settlement of these complaints prevents each business from placing non-disparagement terms in form contracts for goods and services. They must also notify consumers who signed contracts containing these terms that these agreements are unenforceable.

Transferring an auto dealer franchise: 3 things to know

Looking to get out of an auto dealership franchise? One option is to transfer ownership. The buyer will take on the existing dealership rather than starting fresh as a new franchisee.

A transfer may be a much more attractive option than incurring exorbitant penalties from terminating a franchise agreement early. However, these transactions involve unique considerations. Some manufacturers are more open to them than others.

Wage lawsuits may be costly

Many large companies, such as Walmart, Amazon and Uber, have been sued in legal actions concerning wages. For smaller firms, however, these wage-and-hour lawsuits may have even more serious business law and financial consequences, because these entities have fewer resources to absorb a judgment.

Plaintiffs won 79 percent of the 273 wage and hour certification decisions last year. This was a 6% increase from 2017. Companies also experienced a 11% drop of their odds of separating cases with successful motions for decertification.

Making an effective real estate deal

Sellers of commercial real estate should avoid common errors. For example, many sellers put off spending on repairs and hope that a buyer will lower the purchase price to cover this deferred maintenance. Unfortunately, potential buyers will always estimate that the repair costs are much greater than any discount. This creates a dispute over the costs of repairs and who will pay for them.

Buyers may also lack the money to make these repairs because they usually obtain financing to pay for the purchase. They will lack the financial resources to pay for the repairs. Also, buyers may not want to devote their time to a new major repair project.

Opening a car dealership franchise

Opening a car dealership requires overcoming business and legal obstacles. In addition to complying with the Automobile Dealer Law-Dealership licensing requirements, dealers must undertake important business planning.

Becoming familiar with the vehicle business is essential. Selling cars at a dealership, managing vehicle sales or working at a manufacturer can provide valuable experience. Some colleges have courses on owning a dealership.

Franchisors may control some aspects of franchisees' businesses

Although opening a franchise business in Florida can be a lucrative and exciting investment, it can also be a difficult undertaking if the business owner is not aware of the control they may need to give up concerning the details of their franchise relationship. A franchise, regardless of its industry, may be set up in such a way that every business under the franchise looks the same, operates the same, and pays the same costs to the franchisor. It is important to understand some of the ways that franchisors may structure the operation of franchises, but our readers are reminded that different franchise relationships may vary.

A franchisee may be required to get approval for where the franchise will be located from their franchisor. Once site approval is granted, that franchisee may need to follow the instructions of their franchisor with regard to how their business will look. Certain colors, designs and other details may be required of franchisees when they open their businesses.

Guidance for businesses struggling with the rent or buy question

One of the most important decisions that Florida business owners may make concerns where they decide to set up their entity. While some businesses are transactional and may be run out of owners' homes, others may require physical space where manufacturing, distribution and other operations take place. When it comes to finding a place for a business to be located, owners need to decide if they want to rent space or buy their own commercial properties.

As previously discussed on this blog, securing a fair commercial lease agreement can take a significant amount of due diligence to be done properly. While commercial leases can be restrictive, they are not permanent property interests that bind businesses to significant loans, upkeep costs and other ongoing expenses. When a lease ends, a business is free to move to a new location that may better suit its interests.

How can I get out of a franchise agreement?

Like other contracts, automobile dealer franchise agreements are based on the foundational principles of contracts law. An offer is made, an acceptance is garnered and, in exchange, some consideration passes between the hands of the transacting parties. However, when it comes to franchising, additional terms about business operations and other pertinent matters may also be included therein.

Since franchise agreements are similar to other agreements, many traditional contract remedies and termination methods may be relevant. For example, if a franchisor breaches their agreement to train and support their franchisee, the franchisee may have an opportunity to get out of their agreement. Similarly, a franchisor that misrepresents or fails to disclose material facts about their business may open the door to its franchisees to be released from their binding franchise agreements.

Valuable consideration as part of the contract formation process

A business agreement may be made when one party makes an offer to the other and the second party accepts. Offer and acceptance are foundational elements of contract formation, but so, too, is consideration. This post will offer Florida readers an explanation of what constitutes valuable consideration. However, readers should not use this post as legal advice or guidance.

Consideration is the value of the deal to the parties. For example, if an offeror offers to buy a car from an offeree and the offeree accepts, an important issue has not been addressed: the price. In consideration of the offer and acceptance, the offeror may agree to pay $25,000 for the car and the offeree may accept the sum in exchange for releasing their rights to the car.

What exactly is an automobile franchise?

Independent businesses exist all throughout Florida. These entities are unique and are generally stand-alone businesses that are run by individuals, partners, or groups. The owners may have multiple locations for their businesses, but as long as they own each individual business, their entities will not be considered franchises. That is because franchises have a very different business structure.

If a business owner allows a different party to open another site for their business and use all of the intellectual property distinct to their business, then the new site may be considered a franchise. Franchises are set up through licenses, and an owner who allows a franchise to be created is called the franchisor. The individual that sets up the new business under the rules of the original is called the franchisee.

Contact Us Today »

Contact Us Today

Kurkin Forehand Brandes LLP Has The Litigation And Negotiation Skills Car Dealers, Business Owners And Decision-Makers Trust. We Are Driven To Help You Succeed. Contact Us Today For Legal Guidance You Can Rely On.

Bold labels are required.

Contact Information
disclaimer.

The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.

close

Privacy Policy

CONTACT AND CONNECT WITH US

Aventura Office
18851 NE 29th Avenue
Suite 303
Aventura, FL 33180

Phone: 305-929-8500
Fax: 305-675-0564
Aventura Law Office Map

Tallahassee Office
315 S. Calhoun Street
Suite 850
Tallahassee, FL 32301

Phone: 850-391-5060
Map & Directions