IFA to Appeal In United States Supreme Court to Stop Seattle's Discrimination Against Franchises
FOR IMMEDIATE RELEASE
IFA TO APPEAL IN UNITED STATES SUPREME COURT TO STOP SEATTLE'S DISCRIMINATION AGAINST FRANCHISES
WASHINGTON, Jan. 25—The International Franchise Association’s legal appeal against the discriminatory provisions of Seattle’s minimum wage law moves forward today with the filing of a Petition for a Writ of Certiorari, asking the United States Supreme Court to review the decision of the Ninth Circuit in the Seattle Case.
IFA and five Seattle franchisees sued the City of Seattle in June 2014, seeking to block portions of the city’s law to increase the city’s minimum wage to $15 an hour. The plaintiffs asked the court to enjoin the city from treating franchisees as large, national companies rather than the small, locally-owned businesses that they are.
“The controlling Supreme Court precedent and the conflict among the decisions of the federal circuit courts have proven that a Supreme Court review of the Ninth Circuit’s decision is the appropriate next step,” said IFA President & CEO Robert Cresanti. “Our appeal has never sought to prevent the City of Seattle’s wage law from going into effect. Our appeal to the Supreme Court will be focused solely on the discriminatory treatment of franchisees under Seattle’s wage law and the motivation to discriminate against interstate commerce.”
The Employment Policies Institute issued a report last week showing that raising the minimum wage to $15 an hour will hurt franchise businesses disproportionately compared to non-franchise businesses. The survey found that 64 percent of franchise businesses would likely reduce hours compared to 46 percent of non-franchise businesses. The EPI survey concluded that there is no rationale behind treating franchise businesses differently than other small businesses. More than half of those surveyed, 65 percent of franchise businesses, said would likely need to reduce staff in response to a $15 minimum wage.
A response is due from the City of Seattle within 30 days and the Supreme Court is expected to announce in the Spring whether it will agree to hear the case. For more in IFA’s lawsuit against the City of Seattle, please click here.
About the International Franchise Association
Celebrating 55 years of excellence, education and advocacy, the International Franchise Association is the world's oldest and largest organization representing franchising worldwide. IFA works through its government relations and public policy, media relations and educational programs to protect, enhance and promote franchising and the more than 780,000 franchise establishments that support nearly 8.9 million direct jobs, $890 billion of economic output for the U.S. economy and 3 percent of the Gross Domestic Product (GDP). IFA members include franchise companies in over 300 different business format categories, individual franchisees and companies that support the industry in marketing, law, technology and business development.
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