On May 2, 2025, the Texas Supreme Court handed down its opinion in Massage Heights Franchising, LLC v. Danette Hagman. In this case, the Plaintiff alleges she was sexually assaulted by her massage therapist, who had a criminal background, during a massage at a franchisee’s location. A trial ensued against the Franchisee, Therapist, and Franchisor, wherein the jury returned a verdict awarding $1.5 million in actual damages and $1.8 million in exemplary damages. In reversing the verdict against the franchisor, the Texas Supreme Court handed down several opinions relevant to a wide range of businesses under the Franchisor/Franchisee relationship, including:
1. Franchisor did not actually control franchisee’s decision to hire therapist, and thus, did not owe a duty of care to the customer;
2. Safety guidelines provided by the franchisor did not establish requisite degree of control necessary to create a duty of care; and
3. Franchisor did not undertake a duty to keep the customer safe.
The Texas Supreme Court’s reasoning on the third opinion was that “merely retaining or exercising a general right to recommend a safe manner to perform their work is insufficient to impose a duty.” The Franchise Agreement, “along with the Operations Manual, … specifically assigned to [Franchisee] the responsibility for customer safety.”
As such, Franchisors would be wise to update their agreements and operations manuals to specifically assign responsibility for safety in Texas.
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Christopher Chapaneri a distinguished Lydecker attorney with extensive expertise in civil litigation, construction defect, premises liability, amusement park litigation, commercial motor vehicle/trucking, employment law, and environmental litigation—including mold exposure and vegetation management/overspray matters. Chapaneri also has a robust appellate practice, having successfully handled cases before the Texas Supreme Court and the Fifth Circuit Court of Appeals.
In addition, Chapaneri brings substantial experience in handling high exposure and high-risk cases, further strengthening Lydecker’s ability to serve clients across multiple industries in Texas and beyond. Chapaneri also provides services in the State of Oklahoma.
