1. What legal issues have been involved with fast food franchises?
The fast food chains are periodically sued by franchisees who are upset about encroachment, about inflated prices charged by suppliers, about bankruptcies and terminations that seemed unfair.
2. In what particular legal action has the Subway fast food franchise been involved? (100-102)During the 1990s, Subway was involve in more legal disputes with franchisees than any other chain. It is because of its unusual system for recruiting new franchisees. The chain relies on "development agents" to sell new Subway franchises. Those development agents are not paid a salary but they are technically independent contractors, salesmen whose income is largely dependent on the number of Subways that open. To meet their monthly sales quotas, they often have to work 60 to 70 hours a week.
No comments:
Post a Comment