Park Slope Dunkin Donuts - Franchisee Sued

dailyheights

Fascinating piece today in the Daily News:

[quote=http://www.nydailynews.com/ny_local/brooklyn/2008/04/29/2008-04-29_dunkin_donuts_business_practices_have_lo-1.html>Dunkin' Donuts business practices have lots of holes

By Cindy Gluck, franchisee

America may run on Dunkin', but Dunkin' Donuts is running me out of business...

I thought opening a Dunkin' Donuts franchise in Brooklyn was an excellent opportunity... This led to an unlikely business partnership. I'm a Jewish woman from Borough Park, and my business partner is Asam Habib, a 47-year-old Muslim immigrant from Egypt...

In August 2005, we sank our entire savings into a Dunkin' Donuts franchise in Flatbush, and in 2006 we opened a second franchise in Park Slope. Even average customers were struck by the small, thriving partnership between a Jewish woman and a Muslim man.

But soon after we had expanded, Dunkin's ugly corporate face revealed itself...

Because I wanted our store manager to share in our success, I offered to sell him a 15% stake...

The corporation's response? A lawsuit. Dunkin' said that even though the transaction had yet to be completed - and even though I had notified the company beforehand - I had still violated their policies.

... What we soon found out was that we were not alone. In fact, Dunkin' Donuts has sued other franchise owners 154 times since 2006... Over the same stretch of time, McDonald's was involved in five lawsuits...

... we learned that this was more than an unusual litigation binge. This was a corporate strategy... to systematically replace single-store owners with multistore owners. And because they can't just force these mom-and-pop shops to sell, they strong-arm them with threats of lawsuits over minor "contract infractions."...

ridonkulous

As profiled in the New York Times...

http://www.nytimes.com/2007/11/18/nyregion/thecity/18donu.html?scp=1&sq=cindy+gluck&st=nyt

daver

As for Gluck and Habib, Dunkin' Donuts then offered them a munchkin-sized buyout of $400,000 for the two stores they opened - stores they could resell for $700,000 or $800,000 each. And when the partners solicited offers elsewhere, Dunkin' Donuts nixed the deals - even though the potential buyers came from a corporate-approved list, Gluck said.

http://www.nypost.com/seven/03232008/news/regionalnews/dunkin_coffee_clah_103170.htm

the chipster

Yes, huge corporations suck. Did you think by selling EVIL sugar you would be rewarded just because you're jewish and he's arab?! What does that even have to do with anything? Must we bring race into everysinglething?! This is the corporate world honey, and you bought into it. Next time find a company that actually cares about what it produces. Maybe you and your partners can create something truly original, and set up right next to your old nemesis! Sell chai tea, sweets, and challah and put em out of bizniz!

raw

The Chipster wrote: Yes, huge corporations suck. Did you think by selling EVIL sugar you would be rewarded just because you're jewish and he's arab?! What does that even have to do with anything? Must we bring race into everysinglething?!

Tell me about it! I could give a hoot if the business partners were a gay Korean and a Japanese nun. Everyone should get the same treatment.

mookie wilson

please hang in there!

i depend on your coffee!

sweet tea

"EVIL sugar"?? did i wander onto the food coop forum by mistake?

raw

Subject: Re: Park Slope Dunkin Donuts - Franchisee Sued

dailyheights wrote: Fascinating piece today in the Daily News:

[quote=http://www.nydailynews.com/ny_local/brooklyn/2008/04/29/2008-04-29_dunkin_donuts_business_practices_have_lo-1.html>Dunkin' Donuts business practices have lots of holes

By Cindy Gluck, franchisee

America may run on Dunkin', but Dunkin' Donuts is running me out of business...

I thought opening a Dunkin' Donuts franchise in Brooklyn was an excellent opportunity... This led to an unlikely business partnership. I'm a Jewish woman from Borough Park, and my business partner is Asam Habib, a 47-year-old Muslim immigrant from Egypt...
Even average customers were struck by the small, thriving partnership between a Jewish woman and a Muslim man.

What the hell does "even average customers" mean anyways? Is it a way of saying even stupid morons were impressed that a Jew and Arab could be in the same room together without drawing blood?

old time brooklyn

"Stupid moron" sounds like the average DD customer to me.

mookie wilson

i resent that.

charlesbklyn

Subject: Time to make the donuts?

If you really think there is a systematic approach of Duncan Donuts to replace single owners with multi-owners (one owner owning multiple stores), I believe you should contact the economic division of the NY State Attorney General's Office. They would be the government organization to report this behavior. The are located in downtown Manhattan, and their website has contact information.

And as for the two nasty people above, take your attitude and tone somewhere else. This forum is for thoughtful people, not ... well, you know what you are.

and Mookie, I know the need for the DD.

Charlesbklyn

raw

The story's focus on the owners' ethnicities is distracting and pulls attention away from any problems that the owners might be having with Dunkin' Donuts.

What do the owners' cultural backgrounds have to do with the owners feeling as if they are getting screwed by DD? It would only be valid to bring up the owners' cultural backgrounds if DD was discriminating against the owners because one was a Jew and one was an Arab.

bluecat

raw wrote: The story's focus on the owners' ethnicities is distracting and pulls attention away from any problems that the owners might be having with Dunkin' Donuts.

What do the owners' cultural backgrounds have to do with the owners feeling as if they are getting screwed by DD? It would only be valid to bring up the owners' cultural backgrounds if DD was discriminating against the owners because one was a Jew and one was an Arab.

I doubt much attention would come to the DD franchisee plight if it wasn't for the side story of a Jewish/Muslim partnership. Nice avatar Charles.

-blue

bruchy388

Can you beleive such a large corporation like the Sucking Dunkin Donuts hurt people like that! :roll:

Hang in there Cindy and you will win this fight and teach them a lesson!![/b]

jamzer

Old Time Brooklyn wrote: "Stupid moron" sounds like the average DD customer to me.

I resent that too. What an elitist.

By the way - there is a part of the world and a certain segment of the population where the idea of a Muslim and a Jew going into business together is pretty remarkable. I don't think it is a reason to buy coffee for them, or a reason to give them special treatment, but it is a pretty interesting story never the less.

filmlover44

Old Time Brooklyn wrote: "Stupid moron" sounds like the average DD customer to me.

At least we're not elitist morons like Starbucks customers!

old time brooklyn

Their slogan is "Lattes for the rest of us." They're pimped by blue collar John Goodman and food for dummies Rachel Ray. Ergo...

kosherdave

Old Time Brooklyn wrote: Their slogan is "Lattes for the rest of us." They're pimped by blue collar John Goodman and food for dummies Rachel Ray. Ergo...

As far as I know, John Goodman is out. Rachel is still annoying us on the commercials though.

I like their coffee. I'm too afraid of an early death to eat their donuts anymore though. bummer :-(

j0518

I need to thank these people for being the only good coffee option I can think as I walk up 6th Ave. to get to the C stop in Ft. Greene every morning.