May 10, 2007
They’ll Be Back....
When is a terminator not a terminator? When it’s Quiznos. As described in this article, a federal judge in Colorado has granted a preliminary injunction to Quiznos franchisees, allowing them to continue operating their stores, even though Quiznos terminated their franchise agreements. The franchisees are members of a group of Quiznos franchisees calling themselves the Toasted Subs Franchisee Association. Quiznos terminated the franchisees for their participation in the Association, accusing them of “using hostile efforts to damage the company’s reputation.” Quiznos sent letters terminating the franchisees after the Association posted on its website the suicide note of a franchisee who had been embroiled in litigation with Quiznos. The injunction allows the terminated franchisees to continue operating their stores pending trial on their wrongful termination claims against the company.
Posted by franchiselawblog at May 10, 2007 04:23 PM