The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
AB578-ASA1,1
1Section
1. 102.04 (2r) of the statutes is created to read:
AB578-ASA1,2,42
102.04
(2r) For purposes of this chapter, a franchisor, as defined in
16 CFR
3436.1 (k), is not considered to be an employer of a franchisee, as defined in
16 CFR
4436.1 (i), or of an employee of a franchisee, unless any of the following applies:
AB578-ASA1,2,55
(a) The franchisor has agreed in writing to assume that role.
AB578-ASA1,2,96
(b) The franchisor has been found by the department or the division to have
7exercised a type or degree of control over the franchisee or the franchisee's employees
8that is not customarily exercised by a franchisor for the purpose of protecting the
9franchisor's trademarks and brand.
AB578-ASA1,2
10Section
2. 104.015 of the statutes is created to read:
AB578-ASA1,2,14
11104.015 Franchisors excluded. For purposes of this chapter, a franchisor,
12as defined in
16 CFR 436.1 (k), is not considered to be an employer of a franchisee,
13as defined in
16 CFR 436.1 (i), or of an employee of a franchisee, unless any of the
14following applies:
AB578-ASA1,2,15
15(1) The franchisor has agreed in writing to assume that role.
AB578-ASA1,2,19
16(2) The franchisor has been found by the department to have exercised a type
17or degree of control over the franchisee or the franchisee's employees that is not
18customarily exercised by a franchisor for the purpose of protecting the franchisor's
19trademarks and brand.
AB578-ASA1,3
20Section
3. 108.065 (1e) (intro.), (a) (intro.) and (b) (intro.) of the statutes are
21amended to read:
AB578-ASA1,3,4
1108.065
(1e) (intro.) Except as provided in subs. (2) and (3), if there is more than
2one employing unit that has a relationship to an employee, the department shall
3determine which of the employing units is the employer of the employee by
4considering doing the following:
AB578-ASA1,3,55
(a) (intro.)
An Considering an employing unit's right by contract and in fact to:
AB578-ASA1,3,66
(b) (intro.)
Which Considering which employing unit:
AB578-ASA1,4
7Section
4. 108.065 (1e) (c) of the statutes is created to read:
AB578-ASA1,3,118
108.065
(1e) (c) If, after the application of pars. (a) and (b), a franchisor, as
9defined in
16 CFR 436.1 (k), is determined to be the employer of a franchisee, as
10defined in
16 CFR 436.1 (i), or of an employee of a franchisee, applying sub. (4). The
11department shall apply sub. (4) only as provided in this paragraph.
AB578-ASA1,5
12Section
5. 108.065 (4) of the statutes is created to read:
AB578-ASA1,3,1513
108.065
(4) (a) A franchisor, as defined in
16 CFR 436.1 (k), is not considered
14to be an employer of a franchisee, as defined in
16 CFR 436.1 (i), or of an employee
15of a franchisee, unless any of the following applies:
AB578-ASA1,3,1616
1. The franchisor has agreed in writing to assume that role.
AB578-ASA1,3,2017
2. The franchisor has been found by the department to have exercised a type
18or degree of control over the franchisee or the franchisee's employees that is not
19customarily exercised by a franchisor for the purpose of protecting the franchisor's
20trademarks and brand.
AB578-ASA1,3,2121
(b) This subsection shall be applied only as provided in sub. (1e) (c).
AB578-ASA1,6
22Section
6. 109.015 of the statutes is created to read:
AB578-ASA1,4,2
23109.015 Franchisors excluded. For purposes of this chapter, a franchisor,
24as defined in
16 CFR 436.1 (k), is not considered to be an employer of a franchisee,
1as defined in
16 CFR 436.1 (i), or of an employee of a franchisee, unless any of the
2following applies:
AB578-ASA1,4,3
3(1) The franchisor has agreed in writing to assume that role.
AB578-ASA1,4,7
4(2) The franchisor has been found by the department to have exercised a type
5or degree of control over the franchisee or the franchisee's employees that is not
6customarily exercised by a franchisor for the purpose of protecting the franchisor's
7trademarks and brand.
AB578-ASA1,7
8Section
7. 111.3205 of the statutes is created to read:
AB578-ASA1,4,12
9111.3205 Franchisors excluded. For purposes of this subchapter, a
10franchisor, as defined in
16 CFR 436.1 (k), is not considered to be an employer of a
11franchisee, as defined in
16 CFR 436.1 (i), or of an employee of a franchisee, unless
12any of the following applies:
AB578-ASA1,4,13
13(1) The franchisor has agreed in writing to assume that role.
AB578-ASA1,4,17
14(2) The franchisor has been found by the department to have exercised a type
15or degree of control over the franchisee or the franchisee's employees that is not
16customarily exercised by a franchisor for the purpose of protecting the franchisor's
17trademarks and brand.
AB578-ASA1,4,2019
(1)
Exclusion of franchisors as employers. This act first applies to work
20performed on the effective date of this subsection.
