Two South Jersey Franchisees Sue 7-Eleven
Claim chain not keeping up with competition in their markets
CHERRY HILL, N.J. — Two southern New Jersey 7-Eleven franchisees have sued the Dallas-based convenience store chain in federal court for allegedly failing to keep up with the competition–Wawa, reported The Courier-Post.
Sam Younes, of Cherry Hill, N.J., and Tamer Atalla, of Cape May, N.J., allege 7-Eleven has “failed to change its stores, products and marketing despite the ever-changing market and the expectations of consumers,” said the report, citing court documents.
They also allege that sales and profits have fallen “due to the competition, and the lack of a response by 7-Eleven.”
Continue reading Two South Jersey Franchisees Sue 7-Eleven [CSPnet]
NY Franchisee Sues 7-Eleven Inc.; Lost $420K in 20 Months
Another franchisee lawsuit has been filed against 7-Eleven Inc.
NY franchisees Michael Governara and Stefanie Governara are suing 7-Eleven, Inc. claiming that they were deceptively sold into a franchise scheme that turned them into wrongly classified, uncompensated employees rather than business owners, that they were promised training and support they never received, and that they were terminated after investing nearly half a million dollars.
Read More: 7-ELEVEN Franchise: Franchisee Sues for Fraud, Labor Violations, Unfair Dealings
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Marks & Klein Standing Up for 7-Eleven Franchisees
Insider franchising news and views, uncensored NJ law firm contends 7-Eleven franchisees are misclassified employees
Red Bank, NJ franchisee law firm Marks & Klein is defending 7-Eleven franchisees from alleged unfair termination, and is spearheading class action lawsuits alleging that the 7-Eleven franchise program is, in actuality, an employment scam:
NJ Lawsuit Claims 7-Eleven Franchise Program is an Employment Scam
7-ELEVEN, INC. v. SODHI
MICHAEL GOVERNARA, STEFANIE GOVERNARA vs. 7-ELEVEN, INC.
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7-Eleven Franchisees Frustrated With FOA Leaders’ Silence, Inaction
7-Eleven franchisees are expressing disappointment, frustration and anger at FOA & NCASEF leaders who (they contend) remain silent as they are attacked in the media and, some believe, by their own franchisor.
Read More: 7-ELEVEN: UnhappyFranchisee.Com Invites Views of 7-11 Franchisee Groups
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Full 7-Eleven Franchisee Coverage at UnhappyFranchisee.com
Red Bank Says No to Third 7-Eleven
RED BANK — A proposal to open the third 7-Eleven convenience store in the borough was denied Thursday night by the Zoning Board of Adjustment, which cited traffic safety concerns and the effect on the nearby neighborhood.
The decision came after a series of hearings over nine months. All seven voting members voted to deny the application.
The application by 390 Red Bank LLC has been through multiple public hearings since January and proposes to demolish a car wash at the Shell gas station at the corner of Newman Springs Road and Shrewsbury Avenue.
Four board members who commented before the decision said they believed the plan was too dense for the corner lot at the busy intersection. Several also commented about the safety issue of allowing customers to make left turns out of the proposed gas station and 7-Eleven, a concern raised by residents who opposed the plan.
Chairwoman Lauren Nicosia said while a gas station has been there for 30 years, “things have changed” and “having a 7-Eleven would be too much for the neighborhood.”
Continue reading ‘Red Bank Says No to Third 7-Eleven’
7-Eleven Application Withdrawn in New Providence
A 7-Eleven will not be constructed on South Street in New Providence.
Property owner Seyfo Hawi Realty has pulled an application to build a 3,010-square-foot outlet next to Barth’s Market after postponements at the Planning Board level and criticism from some municipal officials, the Alternative Press reported.
Seyfo Hawi Realty had sought preliminary and final major site plan approval and minor subdivision approval to put a branch of the national convenience store chain on the parking lot of the Provident Bank.
However, the applicant retains the right to again pitch the 7-Eleven plan.
The application was withdrawn “without prejudice; that means they can come back with another application at some point,” Planning Board secretary Margaret Koontz told nj.com.
7-Eleven Exploiting Franchisees, Lawsuit Claims
A group of five 7-Eleven franchisees claim in a new lawsuit that the corporation manages their stores so tightly that they’re more like employees than business owners, and therefore should be paid as such.
In the class-action lawsuit filed in a New Jersey court earlier this week, the franchise operators say 7-Eleven controls their stores right down to the interior temperature, product pricing and employee payroll. In addition, the franchisees can’t withdraw funds from their stores’ accounts without permission from corporate, despite investing hundreds of thousands of dollars of their own money in those stores, the suit claims.
The result is that the franchisees, each of whom operates a store in New Jersey, function like employees, even as they assume the financial risks of small business owners, according to the suit.
“When a franchisor exercises so much control over a franchisee, the relationship changes from that of franchisee to employee,” Jerry Marks, the plaintiffs’ lawyer, told The Huffington Post. “They work easily 80 hours a week, they do not get overtime, they do not get health benefits, they do not get vacation and they do not get pension benefits.”
A 7-Eleven spokesperson declined to comment on the suit, citing the pending nature of the litigation.
Continue reading ‘7-Eleven Exploiting Franchisees, Lawsuit Claims’