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Who’s Liable If You Are Injured At A Franchise?

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December is here, which means end-of-year celebrations, meet-ups and “treat-yourself” fast-food runs.

Mealtimes are often planned during peak rush hours, or when there is a high volume of customers present – like right before closing time – and this heightened activity at commercial businesses and popular franchises can lead to injuries.

But just because a severe injury in North Georgia or Tennessee occurs at a nationally recognized brand does not mean the suit will be filed against its franchise system. Let’s discuss how your North Georgia or Tennessee injury lawyer will assess your claim if injured at a franchise location.

Franchising Basics

In some franchise systems, the stores are owned – wholly or mostly – by one corporate entity (or “franchisor”). Starbucks is a prime example of a franchise system that owns nearly all of its stores in the U.S. It does license others, like those inside of other businesses such as airports or Target.

Other franchise systems have widespread presence but do not own or operate all their units, and have agreements with business owners known as franchisees. Franchisees operate their unit(s) independently of the franchisor, but offer the same menu and services and have the same branding. Burger King and Wendy’s are examples of restaurant brands that franchise a majority of their locations.

Franchise agreements typically require franchisees to carry their own liability insurance, which means that if the franchisee is liable, their insurance will cover the claim. For franchisor-owned locations, the corporate entity’s insurance would typically handle any claims.

Determining Liability When Injured At North Georgia or Chattanooga Franchise

If you suffer an injury at a burger franchise in Cartersville or slip and fall during a coffee-and-donut run in Chattanooga, the value of your claim will depend on who owns the unit.

Franchisee-owned locations. If the injury occurred at a franchisee-owned location, the franchisee is often primarily liable because they control the day-to-day operations. In these cases, the lawsuit would directly target the franchisee.

Franchisor-owned locations. If the location is owned and operated directly by the franchisor, the franchisor itself may be liable, as they would have control over operations, policies, and safety standards. This could make it easier to file a personal injury lawsuit directly against the corporate entity or franchisor.

Could You Sue the Franchisor for an Injury at a Franchised Location?

Joint liability could exist if you are injured at a franchised location. A franchisor’s liability often depends on how much control it exercises over the franchisee’s operations. If the franchisor has strict guidelines or retains some control over safety, training, or daily operations, it could share in the liability even if the location is franchisee-owned.

Some successful plaintiffs’ lawsuits have named both the franchisee and franchisor as defendants to cover all possible sources of liability. Courts sometimes allow this if the franchisor’s policies are found to contribute to unsafe conditions. Two brief examples of how this could occur:

  1. If a franchisor required a cleaning substance that creates a slippery floor, it could be reason enough to hold the franchisor liable, even if the franchisee followed those instructions.
  2. The franchisor was aware of unsafe practices or conditions at the franchisee’s location but failed to take corrective action. They could be liable under the theory of negligent oversight.

In these cases, the strength of a plaintiff’s claim against the franchisor often hinges on the degree of the franchisor’s involvement the franchisee’s operations and how the franchisor’s policies or oversight may have contributed to the injury.

An experienced injury lawyer in North Georgia and Chattanooga, TN will consider all the factors contributing to your injury to file the most accurate and comprehensive claim, which can help maximize your compensation and recovery.

Your North Georgia and Chattanooga Accident Lawyer

December is a time for celebrations, days off and catching up with friends and colleagues for a quick meal or coffee. This can place additional stress on businesses that can lead to unsafe premises – particularly at popular franchise restaurants and locations.

If you were injured while a customer or visitor of a franchise or business, our attorneys are here to help. The mission of Pritchard Injury Firm is to provide you and your family with the highest quality of legal help available and a professional, stress-free experience. Contact us today.