E. NOTICE : 1. § 2804(a) As provided in (c) and 90 days
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Baliko v. Mobil Oil Corporation, No. 80 Civ. 6603 (ADS) (S.D.N.Y. 1-19-81) Slip Opinion
Injunctive relief denied franchisee because only ground advanced for relief (inadequate notice) is meritless. Franchisee claimed that the termination notice was insufficient because it was effective as of the expiration of the underlying lease. Franchisee claimed that since the franchise agreement provided that the lease will "automatically terminate thirty days prior to the expiration of landlord's underlying lease," the notice had to be given 90 days prior to thirty days before the underlying lease expired. Franchisor sent notice less than 90 days before that thirty-day period, but more than 90 days before underlying lease expired. The court found franchisee's claim is "a highly technical one and it is unpersuasive." Franchisor agreed to continue the relationship for an additional thirty days in order to assure the statutory notice provision was complied with.
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