StorefrontBacktalk:
It just got a lot tougher for franchise chains to crack the whip when it comes to IT mandates. A Florida judge has said Burger King can’t immediately shut down several franchisee stores for missing a deadline to purchase new POS systems. The $2.5 billion chain will now have to go though more legal proceedings and possibly a trial. Or it can settle what has become the most visible case in a set of messy disputes over IT upgrades that should have been installed by the end of 2009.
Burger King hoped to get quick legal leverage by canceling its franchise agreement with Al Cabrera, one of several franchisees who Burger King sued last year over the tardy IT upgrades. But Burger King’s franchise agreement wasn’t really written with IT in mind. Read on…