International Law

Does Cold Stone Churning Locations?

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Over at Sean Kelly's Unhappy Franchisee, an ex franchisee of Cold Stone Creamery complains that the franchisor turned down 3 legitimate buyers of his franchise, that he was forced to close, and that the franchisor immediately resold the location - pocketing the fees that they would not have got had there been a transfer.

1. The first buyer flunked the personality test.

2. The second buyer flunked the interview with the corporation.

3. The third buyer, a local CS franchisee, needed money from the franchisor to complete the transaction, when none was forthcoming he withdrew.

In six months, the franchisee had only 3 potential buyers and none of them were approved.

Finally, because of failing sales the franchise closed and the franchisor re-opened it for around $45k to a new prospect.

Here is what I want to know: was the franchisee selling it for $45k?  I doubt it - I read this story as a typical unhappy franchisee desperately looking for the next sucker to off load his piece of poo to.

Sean, am I wrong?

Full post as published by Misleading Advertising Law on August 06, 2008 (boomark / email).