California Legislature resolves fast food franchise battle but another industry still rages

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This year, the California Legislature resolved a conflict over the regulation of fast food franchises but another clash is still raging.

Get the news that matters to all Californians. Start every week informed.Receive a weekly digest in your inbox from Dan Walters, who shines a light on how elected officials spend your tax dollars.A line up of electric vehicles at a Hyundai dealership in Fresno on Sept. 7, 2023.

With the referendum qualified for the ballot, the battle was rejoined this year with a proposal to make parent companies liable for labor law violations,that gave sponsors of the legislation, unions mostly, what they wanted, including a new $20 minimum wage, but removed the threat to the franchise system.

When European and Asian automakers began peddling their vehicles in the United States after World War II, they also adopted the franchise system.

 

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