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Log In / Register | Feb 9, 2012

BMM Journalists Investigate

Racketeering Expert Goes After Coffee Beanery

Member | Janet Sparks | Feb 8 | food, legal
BALTIMORE – Rick Welshans and partner Deborah Williams filed their second amended complaint last month against Coffee Beanery alleging racketeering claims, those normally associated with organized crime. But this time the allegations are asserted by a racketeering specialist, one who has a proven record of protecting clients from business fraud and conspiracy.  The former franchisees retained RICO (Racketeer Influenced and Corrupt Organizations) expert Jeffrey E. Grell of Grell & Feist in Minneapolis. Looking back at their long six-year legal dispute, Williams and Welshans made this statement: "The biggest lesson we have learned throughout this journey is that we should have retained a franchise attorney as opposed to a contract attorney to perform our due...
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Fast Casual to Influence Entire Restaurant Industry for 2012 and Beyond

Member | BMM | Feb 8 | food
Source: The NPD Group/Fast Casual: A Growing Market CHICAGO — Restaurants are increasingly adopting fast casual chains' winning strategies, according to market researcher the NPD Group.  Its research in foodservice shows that fast casual is the only restaurant segment continuing to grow throughout the current economic times.That positive momentum has motivated chains in other restaurant segments to renovate properties and enhance menu selections to better compete with fast casual chains. Fast casual restaurants are considered to be upscale quick service restaurant (QSR) concepts that offer more service, higher quality food, and have a larger average check size than other fast food restaurants. Major fast casual chain units increased by a double-digit rate...
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Franchise Ads of Super Bowl XLVI

Member | Mr. Blue MauMau | Feb 5 | entertainment
Honda's Matthew's Day Off commercial, photo/Hulu ad video INDIANAPOLIS - The annual Franchise Ad Bowl kicks off as the Superbowl in Indianapolis. Two NFL franchised teams face off, the New England Patriots against the New York Giants.Blue MauMau is tracking all franchise-related advertisements during the game, whether they are business format (Pizza Hut), product distribution franchisors (Budweiser) or a combination of both. Comment on your favorite video, or click on the link and vote for your favorite on Hulu (U.S. readers only.) Acura: Transactions Acura: Transactions - Extended Audi: Vampire Party Bud Light Platinum: Factory Bud Light Platinum: Work Bud Light: LMFAO Half-Time Bud Light: Rescue Dog Budweiser: Eternal Optimism...
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Ex-Franchisee Liable for Counterfeiting Marks

Member | Janet Sparks | Feb 1 | legal
Not everyone can use the Century 21 logos. Photo/Century 21 LAFAYETTE, Indiana – A district judge ruled last month that a terminated Century 21 franchisee’s continued use of the franchisor’s trademark constituted not only trademark infringement but also counterfeiting. As a result, a court ruled that Century 21 was entitled to collect treble damages and attorney fees. In highlighting last week’s decision, franchisor attorneys Wiley Rein, LLP cautions that most franchisors are aware of federal and state laws that can be invoked in protecting trademark infringement, but they may not be familiar with counterfeiting laws. The authors of the article state, “…not all franchisors are aware that in this context, it also may be possible to assert a...
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Taco Bell Serves Breakfast in the West

Member | BMM | Jan 31 | food
IRVINE, Calif. — Last Thursday Taco Bell launched the first items in its new breakfast platform. Eleven breakfast items ranging from 99 cents to $2.79 will be offered in 10 Western states. The company plans to soon offer breakfast nationwide. Participating restaurants will open from 8 a.m. or 9 a.m., with breakfast ending at 11 a.m. Brian Niccol, Chief Marketing and Innovation Officer at Taco Bell Corporation said: “We’ve partnered with leading breakfast brands that consumers know, love and trust, including Johnsonville Sausage, which has teamed with us to create our signature product, a Sausage and Egg Wrap: a soft flour tortilla filled with savory sausage, fluffy eggs surrounded by melted cheese – all wrapped up and grilled. For those looking for more than a...
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Mr Ronnies Donuts Partners with Francorp

Member | Janet Sparks | Jan 29 | food
CHICAGO – Francorp chairman Donald Boroian said he is so impressed with Ronnie’s Famous Hot Donuts in Houma, Louisiana; he will personally head up the company’s project to franchise the concept across the country. “This is a fantastic concept! the renowned franchise development consultant declared yesterday, after flying down to Louisiana to see Mr Ronnie’s operation. Boroian met with the Picou family who started the business 17 years ago. Ronnie Picou began his career in the donut business in 1976 as a franchisee of Tastee Donut franchise system. But when he parted ways with the franchisor, he left with the mantra of “Only the Best” and opened his first Mr Ronnie’s Hot Donuts location on March 19, 1994. Specializing in hot glazed...
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Quiznos Completes Financial Restructuring

Member | Janet Sparks | Jan 24 | food
DENVER —- Quiznos announced today that it has completed an out-of-court financial restructuring plan that will eliminate one third of its outstanding debt. In addition to shedding $300 million in debt, the program will also provide a significant infusion of $150 million in new equity from Avenue Capital Group, its new hedge fund partner. Quiznos chief executive officer, Greg MacDonald stated today, “Improving our balance sheet and putting our capital structure issues behind us are major steps forward to strengthening the Quiznos brand and our customer experience." They were looking forward to working with Avenue Capital Group and expressed their appreciation of the support from their lenders during the restructuring. After an exchange offer launched by Quiznos on...
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Franchisee Group Sues Cold Stone

Member | Janet Sparks | Jan 23 | food, legal
A Cold Stone Creamery, photo/blue maumau; Gift Card/Cold Stone web site MIAMI – The law firm of Zarco Einhorn Salkowski & Brito, PA filed a lawsuit today on behalf of an independent franchisee association against franchisor Cold Stone Creamery for failing to give its members an accounting of monies collected from third-party vendors and the franchisor's gift card program.The suit, filed in Miami-Dade County, Florida, is for declaratory relief in resolving disputes between the parties. The complaint states that the National Association of Cold Stone Creamery Franchisees (NIACCF) has standing. Lead counsel for the franchisees, Robert Zarco, said: “Kahala and Cold Stone Creamery left the NIACCF with little choice other than to allow the courts to settle their...
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Top 25 Chains with the Happiest Franchisees, 2012

Member | BMM | Jan 21 | buy
Franchisees create new products with franchisor staff. photo/Auntie Anne's LINCOLN, Neb. — A researcher of franchise owners has identified the top 25 brands with the happiest, most satisfied franchise owners. Jeff Johnson, founder of The Franchise Research Institute/FranSurvey, observes that franchisees are happier in these top franchise chains because their businesses have acceptable returns on investment. According to him, these 25 also stand out in their franchisors' ability to involve franchisees in major brand decisions and to listen and communicate. The 2012 survey results are conducted with the chain's franchisees, each one of them, guaranteeing their complete confidentiality. Franchisees were asked about franchisor communication, ongoing...
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Restaurants to Grow Slow, But Offer Healthy

Member | BMM | Jan 18 | food, trends
CHICAGO — The restaurant industry in 2012 will continue a slow recovery. Foodservice market researcher the NPD Group predicts the industry will see change this year to match demand for more selections of healthy kids meals. "We're forecasting a continued slow recovery for the restaurant industry in 2012," says Bonnie Riggs, restaurant industry analyst at NPD. "Still, there will be pockets of real growth, behaviors supporting traffic that will outpace overall demand. To tap into that growth, however, operators need to understand what influences will affect consumer behavior and drive traffic in the next 12 months." Healthy and lighter foods are faring better than many foods and beverages, according to an NPD survey that continually tracks restaurant...
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