lative approach to litigation with their franchisee partners.
The sparing use of litigation is noteworthy, as is the disceming
recourse to ADR as a means of resolving the issue in
question. Across the franchise systems we studied, we find
franchisors' litigation choices to be consistent with policing
and quality assurance: they ensure the appropriate use of
valuable trademarks underlying their brand equity (Shane
2005) and the payment of royalties and advertising fees that
underwrite franchisors' monitoring and market development
efforts, respectively (Blair and Lafontaine 2010).6 Note also
that, all else remaining constant, franchisors initiating legal
claims against their franchisees are more likely to agree to
ADR rather than insist on adjudication. The picture that
emerges here is not one of a power-hungry litigant that is
eager to "punish" even the slightest transgression but rather
that of a thoughtful partner that is nevertheless willing to do
what is necessary to safeguard the franchise brand and its
promise (Antia and Frazier 2001).