Domino’s Canada is pursuing further legal action after the British Columbia Supreme Court granted two North Vancouver franchisees an injunction after the franchisor tried to terminate their agreement due to bad publicity over staff complaints.
The negative attention came from a CBC report about two former employees of the franchise, who filed complaints with the Employment Standards Branch of British Columbia’s ministry of jobs, tourism and skills training. They claimed the franchisees, brothers Farhad and Keyvan Iranmanesh, withheld their wages and then issued threats when they refused to work until they were paid. The franchisees denied these allegations.
After a police investigation had started to see whether charges would be made following the alleged assault, Domino’s Canada undertook an investigation of its own and decided to terminate the brothers’ franchise agreement because of negative publicity on social media. The franchisees then asked the B.C. Supreme Court for an injunction to prevent the termination.
When delivering the court’s decision, Justice Nathan Smith explained if the allegations are proven true, then Domino’s has every right to terminate the franchise agreement, but because of conflicting affidavits, the claims remain unproven so far. Several current employees deny the allegations and an affidavit from a delivery driver who was at the restaurant during a confrontation between the former employees and the franchisees said he neither saw any physical violence nor heard any threats.
Following this ruling, Domino’s lawyer Greg Harney said to CBC that despite the injunction, the franchisor plans to return to court to establish its right to terminate the franchise agreement.