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A court has overturned a decision that franchisees bringing a class action against United Petroleum should be spared a security for costs order, saying there wasn't enough evidence to conclude that the case would otherwise be stifled.
A class action against restaurant chain Fogo Brasilia and its law firm alleging franchisees were misled about the profitability of their businesses could be shut down, with the lead plaintiff unable to pay security for costs after the funder pulled out, a court has heard.
The PR firm for a franchisee class action against United Petroleum has been sued for allegedly distributing an image to group members that depicted the petrol giant as "evil" and was allegedly intended to harm its position in the class action.
A judge has granted Australian bubble tea franchise Sharetea a third adjournment of a trial in a $10 million case brought by its Taiwanese franchisor, despite “very significant concern” that Sharetea’s director did not do everything in his power to find new lawyers in time.
Mexican fast food giant Zambrero has settled misleading and deceptive conduct claims brought against ex-CEO Stuart Cook, who has agreed to refrain from representing that he is “primarily responsible” for the chain’s success.
Westpac subsidiary RAMS has flagged a cross-claim against disgruntled franchisees who say their agreements were terminated without proper cause, citing possible breaches of the National Credit Act.
A judge has ordered Sydney coffee shop chain 85 Degrees to pay a $1.44 million penalty for underpayments by its franchisees, saying it cannot be seen as acceptable for franchisors to “turn a blind eye” to contraventions by franchisees.
A funder that was bankrolling a class action against restaurant chain Fogo Brazilia alleging it misled franchisees about the profitability of its businesses has “pulled the pin” on the case, with the law firm running the proceeding agreeing to act on a no win, no fee basis.
The law firm and funder that ran a class action against Retail Food Group on behalf of current and former franchisees of its Michel's Patisserie chain will be out of pocket, after the company agreed to a settlement under which it will pay nothing.
The Full Federal Court has found the court's recently-affirmed power to make common fund orders at settlement means the litigation funder that backed two class actions against 7-Eleven is entitled to a $24.5 million cut from a $98 million settlement, in a decision that slammed the parties for a settlement approval process that "went off the rails", costing group members $2.5 million.