facebook
twitter
rss
account
search
search
 

Quiznos sued by 10 franchisees

March 17, 2013 at 5:06 PM   |   Comments

DENVER, March 17 (UPI) -- Quiznos, a Denver-based sandwich maker, is facing a number of lawsuits from franchise owners who say the chain is treating restaurant owners unfairly.

Since December, 10 Quiznos restaurant owners have filed lawsuits against Quiznos alleging that the Denver-based sandwich chain of trying to increase corporate profits at the expense of franchisees, The Denver Post reported Sunday.

The restaurant owners say Quiznos has driven up the cost of supplies and failed to provide adequate marketing support.

"The hidden mark-ups, which are the keystone of Quiznos' scheme, have generated massive profits for Quiznos while simultaneously driving its franchisees to financial ruin," one of the lawsuits says.

The increased distribution of coupons for sandwiches and an overall drop in sales have also led to loss in profits for franchise owners.

"The sales decline and the heavy couponing have really made it tough for franchisees to make a profit," said Jonathan Maze, an analyst and writer for Franchise Times magazine. "Quiznos charges a lot of money (to franchisees) for its food."

Quiznos issued a statement in response to the lawsuits, stating: "We believe that these lawsuits are completely without merit. Quiznos management team will not allow these lawsuits to distract us from our mission. We remain committed to delivering a premium product and experience to our guests, and helping our franchise owners grow their sales and profits."

© 2013 United Press International, Inc. All Rights Reserved. Any reproduction, republication, redistribution and/or modification of any UPI content is expressly prohibited without UPI's prior written consent.
Recommended UPI Stories
Featured UPI Collection
trending
2014: The Year in Music [PHOTOS]

2014: The Year in Music [PHOTOS]

Most Popular
1
Shark attacks surfer at Santa Cruz beach Shark attacks surfer at Santa Cruz beach
2
Merkel urges Putin to withdraw Russian troops from Ukraine Merkel urges Putin to withdraw Russian troops from Ukraine
3
Ohio school bus driver killed saving girl Ohio school bus driver killed saving girl
4
The FBI announces completion of facial recognition program The FBI announces completion of facial recognition program
5
Rush Limbaugh: Women actually are consenting when they say 'no' Rush Limbaugh: Women actually are consenting when they say 'no'
Trending News
Video
x
Feedback