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Why Jersey Mike’s Is Tapping Danny DeVito as First Celebrity Endorser

 Danny DeVito-Jersey Mikes

Watching the crew at Jersey Mike’s slice the meats and cheeses for a sandwich sends a “rush of emotions through a person.” That’s the sentiment expressed by Danny DeVito as he delights in the preparation of a Jersey Mike’s sub during a new advertising spot, part of the brand’s recently launched national campaign titled, “It’s a Jersey Mike’s Thing.”

“Excitement. Impatience. Baby-like wonder. Indecisive. Anticipatory chewing. Nervous pacing. Happy claps,” says DeVito, his raspy voice thick with that recognizable Jersey accent. In another commercial, he playfully nestles a cheesesteak sandwich to his ear to hear the sizzle.


NASAA Releases Statement of Policy Regarding the Use of Franchise Questionnaires and Acknowledgments

Many franchisors elect to include disclaimers in their Franchise Disclosure Documents (FDD) and Franchise Agreements relating to certain representations that may have been made (or not made) during the franchise sales process. These disclaimers are typically in the form of a questionnaire that consist of a series of questions asking a prospective franchisee to check “yes” or “no” to questions relating to the franchise sales process. For example, the “prospective franchisee has read and understands the FDD and all attachments to the FDD, including the Franchise Agreement”; “Franchisor has not made any representation, including financial performance representation, outside of or different from the FDD and its attachments”; and similar questions. On September 20, 2022, the North American Securities Administrators Association, Inc. (NASAA) released a Statement of Policy Regarding the Use of Franchise Questionnaires and Acknowledgments. 

Effective, January 1, 2023, NASAA’s Statement of Policy provides for certain policies regarding the use of these questionnaires in FDDs and Franchise Agreements. First, if a franchisor chooses to ask prospective franchisees to sign a questionnaire at the end of the sales process, that questionnaire needs to be referenced in Item 22 of the FDD and attached as an exhibit to the FDD. Moreover, if the franchisor asks a prospective franchisee to verbally respond to a questionnaire on video, a written script must be referenced in Item 22 and attached to the FDD as an exhibit. 

Second, the policy prohibits the use of any statements or questions that would cause a prospective franchisee to surrender (or believe they have surrendered) any rights under federal or state law or that would shift a franchisor’s disclosure duties under appliable law. The policy also includes a list of prohibited statements or questions to be included in the questionnaire. 

Third, the franchisor must include in its FDD and franchise agreement a specific statement that the questionnaire or any other statement or acknowledgment signed or agreed to by the prospective franchisee shall not have the effect of waiving any claims under applicable state franchise laws or disclaiming any reliance on any statement made by the franchisor, franchise seller, or other person acting on behalf of the franchisor. 
California Food Tax Could Soon Come to a State Near You 

Fast-Food Franchise Owners Brace for the Impact of the FAST Act

Amid record job growth, Americans are still struggling to make ends meet. Credit card debt skyrocketed 13% in the second quarter of 2022, the biggest gain in over two decades, as people turn to debt to balance their budgets. Economists are still bracing for the worst as inflation remains near record highs and supply chain issues persist. Despite the unprecedented financial strain, California Governor Gavin Newsom recently signed into law a bill that effectively amounts to a food tax and is expected to increase prices for working-class families by double digits. 

This bill, known as the FAST Act, uses tax dollars to create a Fast Food Sector Council that has near full authority to establish blanket standards at most fast food restaurants. The deck of this 10-member council, appointed by the governor and legislative leaders, is stacked in favor of political appointees and union representatives, ensuring the four votes allocated to the business community will be consistently overruled.  Restaurants in lower-income areas may not be able to pass these costs onto consumers, forcing them instead to reduce worker hours or lay off employees altogether to recoup costs.


Fast food chains could lose right to do business in NYC, under new bill to protect workers

Fast food companies that repeatedly violate workers’ rights could lose their ability to sell food in New York City, under a new bill being considered by the New York City Council.

The bill, discussed in a hearing Monday, would allow New York City’s Department of Consumer and Worker Protection to order the Health Department to, “suspend, revoke, deny or refuse to renew a food service establishment permit,” if a company has had to pay $500,000 or more over a three-year period for violations of the Fair Work Week Law.

If enacted, it would appear to cover companies like Chipotle, which last month agreed to pay $20 million to 13,000 workers in a settlement agreement with New York City’s Department of Consumer and Worker Protection over repeat violations of the city’s Fair Work Week Law. That law requires companies to provide predictable schedules and paid sick leave to workers, among other protections.


Chipotle agrees to pay New Jersey $7.75 million for violating child labor laws 

Chipotle Mexican Grill agreed to a "groundbreaking settlement" with New Jersey on Tuesday for violating the state's child labor laws. The state says the franchise will pay $7.75 million to settle "alleged widespread and persistent violations" of its child labor laws. The fast-food restaurant also agreed to a "far-reaching compliance plan" for its 85 locations in New Jersey.

According to the New Jersey Department of Labor and Workforce Development, a 2020 audit found about 30,660 alleged violations at Chipotle restaurants in the state. The audit revealed that minors were working more hours than they legally were allowed and that the restaurants did not provide adequate meal breaks. "New Jersey is committed to protecting all workers -- especially young workers and others who are vulnerable and may not know their rights in the workplace," Acting Attorney General Matt Platkin said. "This historic settlement is just one result of the investments we have made throughout the Murphy Administration to proactively enforce our worker protection laws, and it should serve as a message to every employer that if you exploit your workers, you will be held accountable."

The audit covered the years 2017 to 2020 and was triggered by the franchise's history of child labor law violations in New Jersey and other states. The state said four Chiptole locations had been cited for violations in 2016-2018, including one in Mays Landing.

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