Tag Archives: compliance

DOL Unveiled Alliance with Franchise Restaurant to Improve Wage-and-Hour Compliance

By: Sheila Raftery Wiggins

The U.S. Department of Labor unveiled its alliance with a sandwich franchisor to help improve the franchisee owners’ compliance with wage-and-hour laws. Under this agreement, the franchisor agreed to share data and swap ideas about promoting compliance with labor laws and co-developing training materials for distribution to franchisee owners. The agreement also includes a commitment to “explore ways to use technology to support franchisee compliance, such as building alerts into the payroll and scheduling platform that [the franchisor] offers as a service to its franchisees.” WARNING: Agreements like these may support a joint employer determination. Whether this agreement is truly a “recipe for success” is in the fine details.

Sheila Raftery Wiggins, of the Newark office, handles matters involving complex commercial disputes, insurance defense, coverage disputes, financial fraud, and attorney ethics.

In Hot Water: Charging Sales Tax When Selling Water Bottles and Other Non-taxable Items

By: Sheila Raftery Wiggins

Franchisees of an international coffee chain were sued in New York and New Jersey for charging extra money—in the form of sales—for non-taxable food items such as water bottles and packaged coffee. LESSON: Check your state’s sales tax guide, which may limit taxes on certain food items and drinks. WARNING: Failure to comply could land you in hot water defending against a consumer class action lawsuit or a government investigation. HELP: If you are not in compliance, put together a strategy – include legal counsel to address all civil and criminal issues – to remedy this situation.

Sheila Raftery Wiggins, of the Newark office, handles matters involving complex commercial disputes, insurance defense, coverage disputes, financial fraud, and attorney ethics.