Tim Hortons: US franchisees turn to justice

MIAMI - Tim Hortons US franchisees have filed a lawsuit against the company and its owner Restaurant Brands International (RBI) lamenting the high price of the products supplied by the parent company.

The US franchise group of the Great White North Franchisee Association, which represents nearly 50% of all Tim Hortons US franchisees, filed its petition in Florida on Tuesday.

They allege that "Tim Hortons / RBI breached the franchise agreement because of unreasonable margins on food, paper and other supplies that franchisees are required to purchase from Tim Hortons / RBI."

Franchisees also deplore a new "unfair" requirement that when a franchisee wants to sell, he must first offer it to Tim Hortons / RBI for a price below market value.

The lawyers who represent the franchisees argue that this lawsuit is similar to the one against the Quiznos chain, which resulted in a settlement of $ 206 million for all Quiznos franchisees.

"These franchisees have been unjustly pressed by Tim Hortons / RBI to the point where, in many cases, they are no longer viable businesses. We expect this type of abusive behavior to stop, "said Marks & Klein's Jerry Marks.

In Canada, there is also a conflict between franchisees who are members of the Great White North Franchisee Association (GWNFA) and Restaurant Brands International (RBI). The restaurant operators say they have received price increases on cleaning products, coffee, especially, without being able to pass on these increases to their customers since the headquarters of Tim Hortons does not allow it.

Two lawsuits were filed, including one against the parent company for using other funds for the promotion and marketing of the coffee chain.

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Posted from my blog with SteemPress : https://infos.link/tim-hortons-us-franchisees-turn-to-justice/

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