Former Petland Inc. franchisees are suing the Chillicothe chain for fraud, alleging the stores are doomed from the start â€“ and the company knows it.
Columbus-based Luper Neidenthal & Logan and two New York firms filed a suit on behalf of two lead plaintiffs â€“ franchisees in Nashville, Tenn., whose stores have gone out of business. The suit is seeking class-action status on behalf of all franchisees since November 1993, and asks for relief of about $20 million. It also seeks cancellation of franchise agreements, said Greg Melick, a Luper Neidenthal attorney representing the plaintiffs.
Melick estimates the average investment per franchisee totals up to $250,000, and the firms have been in contact with more than 40 franchisees.
The lead plaintiffs claim Petland fraudulently induced them to start a pet store when it knew, or should have known, the shops couldnâ€™t succeed. A major allegation from franchisees, Melick said, is that pets supplied to the stores through Petlandâ€™s vendors were sick or dying.
Melick compared the franchiseesâ€™ problem to a restaurateur opening a new business and sending dozens of people to the hospital for food poisoning in its first weekend. More.
Make residual income by providing online page one organic results that every small business needs to grow.
Be a part of the number one growth industry while securing your future with residual income.
Millions of people retire in poverty - but it doesnt have to be this way!
Earn recurring monthly payments selling mobile websites and apps to local businesses.
Unlimited income while helping others succeed. Only for the educated and qualified entrepreneur.
What could be better than earning up to 100% commission on the sales of exciting cruise and destination vacation packages?
Amazing opportunity for only $500 in an industry that is prime for sales.
Our one-of-a-kind training program allows you to successfully enter the lucrative world of commercial financing.