Federal appeals court won't stop Seattle minimum wage law

SEATTLE (AP) — A federal appeals court will not stand in the way of Seattle's new $15 minimum wage law.

The 9th U.S. Circuit Court of Appeals ruled Friday that the U.S. District Court in Washington state ruled correctly on a case brought by the International Franchise Association. The group believes the new law which went into effect earlier this year unfairly discriminates against franchises by treating them the same as larger businesses.

Seattle's new minimum wage law gives small businesses seven years to phase in the higher wage, but requires large companies and franchises to meet the $15 target by 2017 or 2018.

The International Franchise Association expressed disappointment in the ruling and said it has not decided whether to appeal the decision.