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Sep 4, 2018

Tim Hortons says battle with store owner unrelated to dissident franchisee group

Tim Hortons

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Tim Hortons Canada says its decision to end its relationship with the head of a franchisee association representing some dissatisfied store owners has nothing to do with his involvement in the group.

In an email to BNN Bloomberg, a Tim Hortons spokesperson said the move to cut ties with David Hughes, an Albertan franchisee with four locations and President of the Great White North Franchisee Association, was due to what the company called a contravention of its pact with store owners.

“The Tim Hortons franchisee agreement clearly states it is not allowable for any restaurant owner to share confidential company information with the media; disparage the company or the Tim Hortons brand in the media or with community partners and vendors; or ultimately harm the Tim Hortons brand in any way,” the spokesperson said.

“Our action has nothing to do with his position with the association. This is entirely about his conduct relative to his franchisee agreement with the company.”

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    The Great White North Franchisee Association has not yet responded to BNN Bloomberg’s request for comment on the matter.

    As first reported by the Globe and Mail, Tim Hortons’ parent company Restaurant Brands International Inc. abruptly seized Hughes’ restaurants and changed the locks on Sunday afternoon.

    The move is the latest escalation in tensions between Restaurant Brands and the group of franchisees. Last week, GWNFA alleged faulty coffee pots were shattering, scalding workers. Tim Hortons denied the claims, calling them a false accusation.

    This is also not the first time in recent memory an unhappy franchisee has found themselves on the outside looking in. In August, the company and store owner Mark Kuziora reached an agreement in a long-simmering feud between the two after being at odds over the company’s decision to not renew one of Kuziora’s licenses.