New York Corporate Partner Dale Cohen recently authored a "Hot Topic" article for The Legal 500 discussing the Fast Food Accountability and Standards Recovery Act (FAST) and its impact on fast food restaurant franchisors. The California FAST Act creates a 10-member fast food council comprised of restaurant workers, union representatives, state officials, franchisors and franchisees, with a stated goal of setting new minimum industry standards for fast-food chains, in the areas of wages, working hours, workplace health, safety and security conditions, and other employee protections.
The FAST Act, however, makes no distinction between franchised and non-franchised restaurant chains. "Despite this equal application, non-franchised fast food restaurants chains will have no representation on the fast food council," Dale writes. "While this may have been a drafting oversight, it is likely due to an assumption that non-franchised restaurant chains are more likely to be unionized than franchised chains."
Dale is the Exclusive Contributor for The Legal 500 United States Franchise & Licensing Comparative Guide.