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California Franchises: Emerging Litigation
California Labor & Employment Law Review - Volume 39 Issue 2
A franchise business model is typically characterized by an arrangement in whichan independent business owner (the franchisee) pays fees to an established company (the franchisor) to license the franchisor’s name, trademark, and business model. Both parties benefit: The franchisee benefits from brand recognition and operational guidance without having to develop a new product or start a business from scratch; the franchisor receives rapid and inexpensive expansion and limited liability.
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