Burger King franchisees sue franchisor over pricing
Miami The National Franchisee Association filed a suit this week in U.S. District Court in Miami against Burger King, arguing that the company does not have the authority, under the franchisees agreement, to “dictate maximum pricing.”
According to a report by the Miami Herald, the motivation for the suit came after Burger King forced all franchisees to sell its double cheeseburger for $1, starting in October. Franchisees had twice during the summer voted against the $1 double cheeseburger promotion.
The franchisee association, which represents more than 80% of U.S. Burger King franchisees, filed the lawsuit after what they say were unsuccessful attempts to negotiate with Burger King.
As of Thursday morning Burger King had not yet been served with the lawsuit, a company spokeswoman said.