A funny thing happened recently. When Lauren Drewes Daniels at The Dallas Observer featured TexasRestaurantLaw.com last week at this link, a controversy ensued between folks that commented on the article. The dispute involved whether non-competes were valid and enforceable in Texas. Apparently, it is a common myth that non-compete agreements are not enforceable in Texas,… Continue Reading
Tag Archives: restaurant
Is Franchising The Only Key To Restaurant Success?
Posted in Contracts, Franchises, Franchising, Legislation, Liability, Litigation, NegotiationWe talk a lot here about franchising and for good reason. After all, many restaurant owners make great money by developing or buying into a great franchise concept. However, some restaurant owners take a different approach: they develop their own brand and remain the key figure in each additional restaurant. Stephen Pyles is one such… Continue Reading
The Top 5 Considerations Before Buying A Restaurant
Posted in Acquisitions, Commentary, Franchises, Franchising, Liability, NegotiationDespite the “Great Recession”, the restaurant industry continues to thrive. One of the latest great examples of this is the expansion of Asian cuisine. For instance, a new franchise concept called Mama Fu’s is set to open 14 new restaurants in the Dallas area alone over the next several years, according to this article from… Continue Reading
5 Top Strategies For Protecting Your Restaurant And Personal Assets
Posted in Contracts, Corporate Entity, Liability, LitigationHow safe are the assets in your restaurants? Are you personally liable for your restaurant’s liabilities? These are two of the most common questions we get from our restaurant owner clients, so we thought we would share five of the top strategies we use to shield our restaurant owners from liabilities at their restaurants, which… Continue Reading
Is Your Restaurant Recipe Safe?
Posted in Acquisitions, Contracts, Franchises, Franchising, Intellectual Property, Liability, LitigationDid you know that KFC uses two different companies to blend the herbs and spices that make up its secret recipe? One company blends part of the spices, the other blends the remaining spices, and a computerized processor mixes them together so that neither company knows the full recipe. Like the Colonel, you may have… Continue Reading
Restaurant Trade Fixtures And Equipment – What Belongs To You And What Belongs To The Landlord?
Posted in Acquisitions, Contracts, Liability, Litigation, Real EstateCo-Authored by Matt Sanderson & Lindsey Postula THE MYSTERIOUS TRADE FIXTURE What are trade fixtures? Trade fixtures are the equipment that a tenant uses to operate its business. Although they are not considered to be real property (which means they don’t fall into the definition of fixtures), they are generally attached to the leased premises… Continue Reading
How To Finance Your Restaurant Purchase
Posted in Acquisitions, Contracts, Franchises, FranchisingThe recent economic struggles have given rise to a host of financing opportunities, and you should consider them all when buying your restaurant. Traditional Financing It’s no surprise that you can go to a bank to finance a restaurant purchase, but which bank and what are your options? These are hard questions. Traditional financing is… Continue Reading
Bad Economy Hits Restaurants in Texas
Posted in Commentary, NewsBy Matthew M. Sanderson As most of us know all too well, the global economic downturn has hit everyone, and based on a recent article by the Dallas Morning News, found at this link, restaurants that offer alcohol are hurting, too. According to the article, “For 2008, the number of restaurants, bars and liquor stores… Continue Reading
Alcohol Permits and Changes in Control
Posted in Alcohol, ContractsBy Matthew M. Sanderson How does the change in control of a restaurant that sells alcohol affect its alcohol permit? This question comes up time and again, and there are no easy answers. In general, this question occurs when a restaurant changes ownership and the new owner needs an alcohol permit. With the drastic speed… Continue Reading
Rep Agreements and The Manufacturer Representative’s
Posted in ContractsBy Ralph Perry-Miller Within the restaurant industry, many products are sold through manufacturer representatives and sales representatives. Often these sales representatives are compensated for their efforts through payment upon a commission program which is based upon a percentage of the dollar amount of orders for product or merchandise sold within a defined geographic territory. While… Continue Reading
Personal Guarantees of Corporate Obligations: The Devil is in the Fine Print
Posted in ContractsBy Ralph Perry-Miller When entering into new vendor relationships, signing real estate and equipment leases, or merely turning in a credit application, you likely just unknowingly took on the liability personally. One of the most ignored and financially devastating acts are the routine execution of documents which either expressly or deceptively contain personal guaranties of… Continue Reading
What is the Best Entity for My Texas Restaurant?
Posted in Corporate EntityBy Matthew M. Sanderson One of the most common concerns of restaurant owners, and frankly any business, is the determination of the best entity is for their operations. Many factors go into this analysis, and this article provides a brief overview to help in this decision. The first question in this analysis is “alcohol or… Continue Reading
Recent Nutrition Law Trends
Posted in News, Recent Law TrendsBy: Matthew M. Sanderson Do you ever wonder about the direction of nutrition law in the United States? Are you concerned that lawmakers are becoming either too lenient or too oppressive in the nutrition laws they implement? In either instance, two laws were enacted last year that should be of great interest to you. With… Continue Reading