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HOLIDAY INNS FRANCHISING, INC. v. BRANSTAD

Nos. 93-2606, 93-2607, 93-2609.

29 F.3d 383 (1994)

HOLIDAY INNS FRANCHISING, INC., and Holiday Inns, Inc., Appellees, v. Terry BRANSTAD, Governor of the State of Iowa, Appellant, John Q. Hammons and Omaha Hotel, Inc., Defendants, Iowa Franchisee Association, Intervenor. MCDONALD'S CORPORATION, Appellee, v. Steven NELSON and Tass Enterprises, Inc., Defendants, MCDONALD'S CORPORATION, Appellee, v. Steven NELSON and Tass Enterprises, Inc., Defendants, State of Iowa, Intervenor, Iowa Franchisee Association, Appellant. State of Iowa, Appellant, Iowa Franchisee Association, Intervenor. HOLIDAY INNS FRANCHISING, INC., and Holiday Inns, Inc., Appellees, v. Terry BRANSTAD, Governor of the State of Iowa; John Q. Hammons; and Omaha Hotel, Inc., Defendants, Iowa Franchisee Association, Appellant.

United States Court of Appeals, Eighth Circuit.

Decided July 7, 1994.

Attorney(s) appearing for the Case

Mark Hunacek, Asst. Atty. Gen., Ames, IA, argued, for Branstad.

Brent R. Appel, Des Moines, IA, argued, for Iowa Franchisee Ass'n.

Alan Silberman, Chicago, IL, argued, for McDonald's Corp.

John G. Parker, Atlanta, GA, argued, for Holiday Inns; Robert T. Joseph, William T. Barker, Jill A. Thompson, Ronald T. Coleman, Janet L. Kishbaugh and Edward W. Remsburg, on briefs, for appellees.

Before BEAM and MORRIS SHEPPARD ARNOLD, Circuit Judges, and STROM, District Judge.

MORRIS SHEPPARD ARNOLD, Circuit Judge.

These were consolidated actions for summary judgment claiming that application of the Iowa Franchise Act, see Iowa Code Ann. §§ 523H.1-523H.17, to existing franchise agreements was unconstitutional under the Contract Clause of both the United States and Iowa Constitutions. Section 2 of the Act expressly extends its effects to existing franchise arrangements. Plaintiffs pointed to several provisions of the Act...

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