Tim Hortons opened at the American franchise, has closed two of its restaurants in Canada against the backdrop of disagreement with its canadian distributor.
The company Show Me Hospitality, which is the developer of Tim Hortons in St. Louis, filed a lawsuit at the head office of Tim Hortons in the United States for failure to comply with agreements.
The franchisee declares that in 2014 the company Show Me Hospitality were asked to increase their commitment to the development of Tim Hortons restaurants in district Saint Louis with 40 restaurants within five years to more than 200 restaurants within 10 years.
After the company Show Me Hospitality refused such conditions, the head office of Tim Hortons has ceased to agree on locations for new restaurants, and ceased to provide branding items and advertising the franchisee.
The company also claims that Tim Hortons denied approval of new partners and the necessary capital investment and said that if Show Me Hospitality will not accept obligations under the program 200 restaurants, this will lead to the termination of the agreement on the development of the district.
The charges were proven in court.
However, the defense denies the allegations.
Judicial proceedings are conducted against the background of other disputes between Tim Hortons and other franchises.