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"But their relationship with us is a loose franchise contract.
That year, Mr. Missirlian said, Dunhill began asking to buy back his franchise contract.
Using resource-based theory, we expect that intangible knowledge-based resources, such as system-specific knowhow and brand name of the franchisor, will positively influence franchise contract duration.
Last week the government withdrew the award of the vast £13bn West Coast rail franchise contract to FirstGroup, acknowledging that its own processes were faulty.
That is technically true, but the standard franchise contract throughout the fast-food industry binds the franchisee tightly to a low-pay, cost-cutting business model that leads to abuses.
As part of a rail strategy published by Grayling, the franchise contract of Virgin Trains East Coast will be terminated three years early, potentially forfeiting up to £2bn in premiums due to the Treasury.
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"These franchise contracts are often legal works of art with franchiser attorneys determining every possible scenario during the entire length of time you'll own the franchise, to the franchiser's benefit -- not yours," she said.
Several council members and aides said that there was nothing unusual about long-term franchise contracts.
He called himself the Bagel King of Long Island, and with dozens of stores and franchise contracts, Jerard Steuerman could reasonably claim the title.
Their report examined franchise contracts at 40 companies, and concluded that the no-poach agreements appeared to exist mainly to limit competition and turnover.
Meanwhile problems with franchise contracts—as with the West Coast Main Line, where a miscalculation squandered at least £40m and put all other franchise awards on hold have raised costs further.
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