MILWAUKEE (CN) – Twenty-seven plaintiffs have filed a class-action complaint against Quizno’s Franchise Co., the latest in a string of complaints accusing Quizno’s of fraud in convincing people to buy franchises by making promises it does not keep and overcharging for food and supplies.
Quizno’s has been sued repeatedly on these charges. This complaint, in Milwaukee County Court, alleges that franchisees are subjected to a form of “indentured servitude.”
They claim Quiznos knowingly deceives them “while concealing the true nature and extent of its own relationships with suppliers”.
They claim it forces franchisees to accept coupons from customers for highly discounted foods for which the franchisees will lose money and never receive reimbursement.
They claim Quiznos forces them to pay an “advertising fee” of 4% to 5% of sales, in violation of their franchise agreements.
They claim Quiznos stuffs areas with more stores than the areas can support.
They claim unwitting franchisees suffer “astronomical losses … as a result of a rigged and one-sided system.”
The accuse Quiznos of “enforcing biased and discriminatory policies”.
And they accuse Quiznos of a slew of other unethical and illegal practices – and this in just the first 6 pages of this 63-page complaint.
Represented by Mark Leitner with Kravit Hovel & Krawczyk, plaintiffs demand their money back, an injunction, and punitive damages.