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Wisconsin Franchise Agreements

Like many other states, Wisconsin applies a broad definition of what a franchise is. Under Wisconsin law, there is a “franchise” if the company includes: (a) a common marketing plan, either claimed by the alleged franchisor, or proposed; (b) license or association with a trademark or other commercial symbol; and (c) the payment of a tax. It is essential to ensure that specific information requirements are met. For example, the franchise disclosure document and all attachments must be submitted as a single PDF document. Downloading an erroneous or incomplete version of the FDD can result in additional costs and unnecessary delays. By working with an experienced lawyer in the legal creation of franchises, franchisors could be assured that their application is duly completed, so that they are able to start their activities as soon as possible. Palmersheim Dettmann, S.C. is experienced in franchise law and a franchise lawyer can assist in the establishment and filing of the necessary registration documents on behalf of a franchisor and in verifying these documents for the benefit of a franchisee. Since fees paid to a franchisor can run in the tens of thousands of dollars, it is important to always have a franchise lawyer who checks these documents before signing a contract. Wisconsin Music Network, Inc. v. Muzak Ltd.

Partnership, United States District Court, E.D. Wisconsin, December 4, 1992822 F.Supp. 13321993-1 Trade Cases P 70, 176 (“Wisconsin Fair Dealership Law– WMNI argues that Muzak terminated it without good reason in violation of 1336 WFDL.5 The Court must first determine the character of this dispute. WMNI says this is a dismissal case. It submitted in detail that Muzak and WMNI currently have a valid agreement, identical to that of the 1980 agreement.6 (WMNI Post-Hearing Brief, p. 20, C.) Muzak argues that WMNI simply refuses to sign the new agreement. Under the 1980 agreement, Muzak was required to offer WMNI, in March 1989, a new agreement “corresponding to the form of a licensing agreement that the licensee (Muzak) then offered to licensees or potential licensees… ». (1980 Agreement, No. 3, p.