Freshslice Franchisee Sues Over Termination and Lost Goodwill

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Freshslice Franchisee Sues Over Termination and Lost Goodwill
FRANCHISING DISPUTETERMINATIONGOODWILL
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A former Freshslice Pizza franchisee in Richmond is suing the franchisor, RF Franchising Inc., alleging wrongful termination and lost profits. The lawsuit stems from a dispute over the operation of the franchise, with the franchisor claiming substandard practices and the franchisee asserting that the termination prevented him from selling the franchise at a higher price.

That business truth is laid bare in a lawsuit filed last month in B.C. Supreme Court.

Zamani seeks a series of declarations and damages related to what he calculated is $130,000 in lost goodwill, as well as any profit that Freshslice has been making by operating his franchise since July 16, according to his notice of civil claim. Some of Freshslice’s accusations, in its response to Zamani’s lawsuit, is that Zamani told staff to save money by reducing the amount of ingredients put on pizzas, that he wrongly left dough on a table at room temperature and that he did not add extra staff on a day when there was a big promotion.For example, Zamani claimed he signed a franchise agreement with franchisor RF Franchising Inc. in December 2022 and that his 1420258 BC Ltd. signed a sublease agreement with S.A. Leasing Ltd.

Without going into each of the many disagreements, the crux of Zamani’s lawsuit is his claim that Freshslice acted in a way that kept him from being able to sell the franchise to the highest bidder.

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FRANCHISING DISPUTE TERMINATION GOODWILL LAWSUIT FRESHSLICE

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