09/05/2020
1. Find a Good Attorney -- Now!
From J. Mark Dady, franchisee lawyer and managing partner, Dady & Gardner, P.A.
My practice is focused almost exclusively on the representation of franchisees, helping prospective ones review their franchise disclosure document and negotiate changes to their franchise agreements. Clients also come to us when they’re having an issue with their franchisor: They might feel the franchise opportunity was misrepresented, or they have an issue related to default notices, termination, or nonrenewal.
A lot of franchisees think that getting a lawyer involved dramatically escalates things. My advice: Don’t worry about that. Your franchisor has a lawyer, so you should have one, too. It’s a good idea to retain counsel sooner rather than later. We get a lot of calls from folks who say, “Hey, I got this default notice from my franchisor, and I need some assistance,” but they’re calling 29 days in with a 30-day cure period. When your counsel has more time, there are more options.
When you do start considering firms, make sure you choose someone with experience in franchising. Just because you’ve used a lawyer for a lease review or a corporate formation doesn’t mean they know franchise law. And remember: Some lawyers represent both franchisors and franchisees. Find someone who doesn’t just dabble. You want someone whose primary focus is representing and advocating for franchisees.
