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Cuppy's Coffee Goes to Court: SBT Sues Elite Mfg.

Posted Mon, 2008/07/14 - 14:15 by Sean Kelly
Supreme Building Technologies filed suit against Elite Manufacturing, LLC alleging breach of contract regarding $1.7M in unpaid fees.
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AAFD: Franchising Watchdog... or Lapdog?

Posted Tue, 2008/03/18 - 01:05 by Sean Kelly

Related story: Cuppy's Coffee Franchise Allegations Are Disturbingly Familiar

Is the American Association of Franchisees & Dealers (AAFD) the franchisee's watchdog or the questionable franchisor's lapdog?

Will the next edition of The Franchise Fraud be subtitled A How-To Guide?

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Grease Thieves are on a Slippery Slope

Posted Tue, 2007/08/14 - 14:47 by Sean Kelly

In recent weeks, we've reported on the many indignities restaurant owners face.  We've seen McDonald's get sued because a lady wanted to pay with her feet.  We've seen drive-thru workers pelted with airborne sodas.  But when they start stealing our grease... it's time to call in the Texas Rangers.

Texas and Oklahoma are the "hotbed of grease thieves."

The Cincinnati Enquirer reports that the rising price of ethanol and increasing popularity of biodiesel fuel have spurred more people to take grease from traps behind restaurants to convert it to biodiesel or sell it on the black market.  (There's a grease black market?) This has led one company to employ a former Texas Ranger and a former Texas cop to track down those slippery characters stealing restaurant grease, which can cost restaurants thousands of dollars per week.

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Apple Paying $700,000 for Bloggers' Legal Fees Sends Message

Posted Thu, 2007/02/01 - 19:44 by Sean Kelly

While the circumstances of this case are different than those involving franchise companies, the ruling that Apple must pay the $700,000 legal fees incurred by bloggers in defending themselves from the computer giant's litigation sends a powerful message.

Blogging could transform the way that franchise opportunities are discovered, researched and selected by prospective franchise owners... for the better.  The blogosphere provides the forum, for the first time, for prospective franchise buyers to find timely news, discussion, comments, and the insider insights they need to make what will be, for most of them, the largest and most significant investment of their lives.   Bloggers have the opportunity to provide praise for the best companies, and expose the controversies that surround the worst.  But bloggers will only be able to provide this much-needed information and perspective if they can communicate (at least responsibly) without fear.

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Franchisors: Extend Goodwill Offers to Java Jo'z Victims?

Posted Fri, 2007/01/19 - 15:14 by Sean Kelly
RE:  Story on FranBest.com (Franchisors Extend Goodwill Offers to Java Jo’z Victims)

Know of any other companies willing to waive fees to offer a discount to those who lost money to Java Jo'z?  Have them email me at seankelly [at] ideafarm [dot] net. 

Most of the franchisors I've worked with (and all of those that I continue to work with) are honest businesspeople who want to build a successful chain by creating Win-Win situations with their franchisees. 

This morning it occurred to me that there is an opportunity for franchisors to demonstrate this quality, and untarnish franchising's image (which has been taking a beating lately).  As it's doubtful those who sought to open a Java Jo'z franchise will ever see their money again, would other franchisors be willing to credit them with some or all of their upfront fees if they joined their franchise system?  Wouldn't it be worth the good press they would get, especially another coffee company?

Java Jo'z & Cuppys: Lessons Learned?

Posted Thu, 2007/01/18 - 08:24 by Sean Kelly

Quick (hopefully non-actionable) recap:  A number of individuals claim that they paid refundable fees of $20K & $30K to a company (Java Jo'z) contingent upon finding a location.  They can't find locations & ask for their money back.  They are told that the assets of the company the individuals paid have been sold to another company (Cuppy's), and their money is gone.  Sorry.  The individuals are confused because the new company looks like the same people sitting in the same desks in the same office as the old company, but now their logoed shirts say "Cuppy's" instead of "Java Jo'z."  The new, improved company hires high-powered lawyers to patiently and emphatically explain to these people that the new shirts mean they should go away quietly and leave them alone.

Java Jo'z Controversy Gaining Attention Via Blogs

Posted Mon, 2007/01/08 - 15:33 by Sean Kelly
According to Ben Scoble, he paid a $30,000 refundable downpayment for a Java Jo'z drive-thru coffee franchise.  He was unable to find a location but, according to Scoble, the company will not refund his deposit.

Others in the same situation may have had to suffer in silence, but not Scoble.  Ben Scoble's brother is prominent Tech Blogger Robert Scoble, author of the high-traffic Scobleizer blog.  His post about his brother's woes sparked widespread coverage of the controversy, and the issue took the top positions of search engine results for "Java Jo'z"

Pizza Magazine Wars Intensify

Posted Thu, 2006/12/14 - 15:59 by Sean Kelly

The slick pizza industry magazine Pizza Today (Goliath) has always seen the gritty upstart PMQ (Pizza Marketing Quarterly aka David) as a thorn in their side.  Recently, Goliath went on the attack with a circulation "expose" on PMQ.  David's response brought the score to DAVID: 1  GOLIATH: 0.

Read it here: PMQ Outclasses Goliath in Pizza Magazine Wars