Disputes over Royalties

Experienced Counsel from Your Franchisee Lawyer

Franchise Legal Support represents franchisees in royalty disputes. Whether or not the source of your royalty dispute has to do with unprofitability at the franchisee or franchisor level, we can help you take a close look at the real source of the dispute and find the most cost-effective way to resolve it.

With more than 28 years of experience exclusively representing franchisees in agreement reviews, breach of contract matters, and everything in between, you can rest assured that your case is in highly capable hands.

Why Franchise Legal Support?

  • Attorney Levaton owned, operated and managed Midas and Good Cents franchises
  • He served on the board as a committee member, on the executive committee, and as general counsel for California and international franchisee associations

Resolving Royalty Disputes

At the core of many franchise disputes is unprofitability at the franchisee level, if not the franchisor level, and in many cases, a positive cash flow would resolve most issues. A franchisee who is not paying their royalties may not be obstinate, but they may have a significant cash flow problem. Until the franchisor and franchisee go beyond the surface issue of the royalty default and find the reasons for the defaults, the situation can continue indefinitely. Thus, it is in both parties' best interests to address the underlying reason for the problem so they can resolve it in a proactive business manner.

Using Proactive Legal Strategies to Address Disputes

In franchising, taking a proactive approach to addressing disputes is practical because it saves time, money, and energy that can be redirected toward profitability. Early intervention leads to smaller problems, and since franchising is driven by relationships, problems tend to worsen if they are left untreated.

Many franchise agreements state that if a face-to-face meeting does not resolve a dispute, a professional may have to be brought in. Dispute resolution is an excellent way to work through a problem, with the goal of reaching a settlement as affordably and amicably as possible.

Contact Franchise Legal Support for Nationwide Support

If you have a royalty dispute, contact our Los Angeles franchise attorney at Franchise Legal Support. Upon reviewing your case, we can determine whether alternative dispute resolution or another legal strategy would effectively resolve your issue.

Contact us today to learn more about our dispute resolution services and how we can help!

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