Quiznos Settles Class Action Lawsuits By Franchisees
Published:23-November-2009
By Staff Reporter
Settlement contains financial benefits for current and former franchisees
US District Court judge has preliminarily approved a settlement of four franchisee class action lawsuits filed against the Quiznos Franchise company and others.
The cases in Colorado, Wisconsin and Illinois, the earliest of which has been pending since 2006, allege violations of various state and federal laws in connection with the sale and operation of Quiznos franchises. Quiznos denied all claims, and the settlement agreement involves no finding or admission of liability.
The settlement contains financial benefits for current and former franchisees that elect to participate in the form of cash refunds, food purchase discounts, and debt forgiveness.
In addition, amongst other things, the settlement agreement provides for the creation, endorsement and funding of an independent franchisee association; a retraining program for franchisees; annual benchmark studies by an independent third party to review costs of goods sold to franchisees; and an internal dispute resolution process for franchisee disputes.
