After converting more than 3,000 Mail Boxes Etc. stores in the United States to UPS Stores, UPS is now facing a lawsuit from 150 franchisees that refused to change. In early 2003, UPS launched the UPS Store program and in mid-2003, 150 franchisees filed a lawsuit alleging damage from the chain's conversion. While UPS says that franchisees' sales have increased under the UPS brand, those franchisees who refused to convert to the UPS brand have said that UPS now only advertises UPS stores and this marketing strategy has cost them business.
Posted by franchiselawblog at July 6, 2004 01:27 PM