A PappaRich franchise operator is facing legal action by the Fair Work Ombudsman for allegedly underpaying 154 workers at three of the Malaysian food chain’s outlets in Sydney.
A parliamentary report released Thursday recommended major reform to the $170 billion franchise industry and called on three government agencies to probe franchise giant Retail Food Group and its top executives for potential insider trading, tax evasion and other unlawful conduct.
Westpac-owned mortgage lender RAMS Financial Services breached a franchise agreement by failing to supply a Brisbane-based franchisee with information about nearby broker-originated customers, a judge has found.
A judge has found franchisor Retail Food Group made false and misleading statements to a couple whose Michel’s Patisserie franchise ultimately lost over $142,000 due to allegedly poor quality products and irregular order schedules.
Car wash franchisor Geowash misled franchisees about how much revenue they could expect to earn per month and acted unconscionably in its charging practices, the court has found.
Café, restaurant and take away food services franchisors, which have faced criticism and litigation for allegedly misleading franchisees, will now face heightened scrutiny from the Australian Competition and Consumer Commission.
A franchisee’s $6.1 million case against Domino’s Pizza accusing the fast food chain of misleading him about the sales he could expect from his two Surfers Paradise stores has been resolved out of court.
National car repair franchise Ultra Tune has been ordered to pay a $2.6 million penalty, with a judge finding the firm had not only breached the Franchising Code and the Australian Consumer Law by misleading a prospective franchisee but also misled the court in its defence of the case brought by the consumer watchdog.
The High Court has shot down a request by the former head of food franchisor Retail Food Group that it relieve him from having to appear before a Parliamentary Committee looking into the Franchise Code of Conduct.
Blockbuster has lost another round in its case against a husband and wife franchisee that sold a store’s assets to a competitor, with a court ruling the company could not sock the pair with the costs of its failed appeal.