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LOS ANGELES The association representing Subway franchisees is suing the franchise owner over control of the chain’s advertising, according to a statement issued today by the Subway Franchisee Advertising Fund Trust (SFAFT).
According to the franchisees group, the lawsuit filed today in Connecticut’s Ansonia-New Haven Superior Court is the result of an April change to the 1990 franchise agreement by Subway founder Fred DeLuca and the Doctor’s Associates Inc. (the franchise owner).
The franchisees contend that “certain terms … allow DAI, at any time it chooses, to redirect franchisee advertising contributions away from SFAFT to a separate entity created by DAI.”
“Fred
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