Just six months after Coverall settled a lawsuit in California brought by a group of franchisees alleging fraud, the New York Times reports that another group of Coverall franchisees have filed suit against the company for fraud, breach of contract and failure to pay the minimum wage. Specifically, the franchisee claim that Coverall took out improperly large commissions and did not have enough customers to supply the franchisees.
Posted by franchiselawblog at July 19, 2005 12:53 PM