Some twenty franchisees of pizza chain Papa John's are deeply in debt due to a bankruptcy. They have joined forces and went to court, their lawyer Herman Knotter confirms.
Almost 30 Papa John's locations have been opened in the last two years, of which around 20 have had to close their doors. The entrepreneurs in question were left with tons of debts. The entrepreneurs feel deceived and deceived according to their lawyer.
The franchisees want to recover these debts at the PJ Europe Group BV head office. It concerns a total amount of more than 4 million euros.
The franchise conditions are, according to the franchisers, far too strict to keep afloat. At the moment there is a proposal for a new law at the House of Representatives. Among other things, stricter requirements are set for the information that franchisors must provide franchisees in advance.
The franchisees say that the company has promised them mountains of gold in advance, but that under the current franchise conditions it is impossible to keep things going well.