Texas Franchise Law Legal Questions

I suggest you not quit your job until you have an experienced lawyer review any covenants not to compete in contracts you signed,  the territory of those covenants, and the reasonableness of those covenants.  I also suggest that you not take any customer lists or unpublished data or material in your possession even if you created the data or material.... Read More

Depending on the situation, it may be possible. However, it may also be possible to overturn the default judgment. Further, it could be interpreted that the trust could only sue through the company and thus should have brought its claims in the initial suit, which already has a judgment.  ... Read More

A business gains rights in a trademark through use.  If you are using a trademark in Texas, but not in other states and there is no effect on  interstate commerce, then you can register the trademark with the Secretary of State of Texas.  The filing fee is $50.   If you are using the trademark in interstate commerce, then you can register the trademark with the United States Trademark Office.  The cost of registration is either $275 or $325 depending on how you file the application for registration.  You may also incur legal fees of any where from $500 to $1,000 if you hire an attorney to make the application to register the trademark for you. If someone else is using the same or a similar trademark on goods or in connection with services that are the same or similar to your goods or services, and if they used it before you used it, then the other person has superior rights and can stop you from registering your trademark.  The other person may not have registered the trademark, but registration is not necessary to earn and to claim rights in a mark.  All that is needed to own a trademark is to use the trademark on goods or in connection with goods or services in a business.  The first person to use the trademark owns the trademark for those particular goods or services and can keep others from using the trademark if there is a likelihood of confusion about who is producing or selling the goods or services. I am an attorney licensed to practice law in the State of Ohio and I am not licensed to practice law in the State of Texas.  This communication is intended to give general legal information and is not legal advice to you based on your specific situation.  No attorney client relationship is created by this communication.... Read More

Under federal law, persons selling franchises have to furnish a franchise buyer with a Franchise Disclosure Document that meets detailed disclosure requirements prescribed by federal regulation at least 10 days before the franchise buyer gives any money to the franchise seller.  If the business arrangement you entered into qualifies as a franchise, then this franchise seller has violated the federal franchise laws.  Unfortunately, there is no private right to sue the franchise seller under the federal laws.  Some states give franchise buyers the right to sue the franchise seller for violating the federal or state laws on franchising, but Texas is not one of them. Your remedy under the federal franchise laws is to file a complaint with the Federal Trade Commission in Washington, DC, and the FTC may investigate this franchise seller.  However, you may have the right to sue the franchise seller under a breach of contract claim since contracts do not have to be in writing.  It depends on what you agreed to in the 1-page business opportunity statement your signed.  There may also be a business opportunity law in the State of Texas that could give you a right to sue this franchise seller.  You should consult an attorney licensed to practice law in the State of Texas to find out if you have any way to sue the franchise seller to get your money back.  Your rights will also be affected by any other written agreements you signed. I am an attorney licensed to practice law in the State of Ohio and I am not admitted to practice law in Texas.  This answer is intended to give general information on federal franchise law and not to advise you specifically on your legal rights.  An attorney advising you on your legal rights against this franchise seller will have to review all the documents you signed or that were given to you.... Read More