Demand for 1 Million Won per Store Owner
bhc "Will Conduct Legal Review and Response"
bhc Chicken franchisees have filed a lawsuit demanding the headquarters (franchise headquarters) return unjust profits.
According to the industry on the 13th, 330 bhc Chicken franchisees filed a claim for the return of unjust profits against the franchise headquarters at the Seoul Eastern District Court on the same day. The franchisees are reportedly claiming that the headquarters received differential franchise fees without agreement and must return them. The differential franchise fee is the profit the headquarters earns by supplying raw and subsidiary materials to the franchise stores with added markup.
bhc Hanti Station store. Provided by bhc
The franchisees stated that the differential franchise fees paid per person exceed 1 million won after operating their stores for more than a year, and they believe the headquarters should first pay 1 million won per franchisee. They also demanded that if the headquarters refuses contract renewal without just cause by raising issues over this differential franchise fee refund request, it should pay 5 million won per violation to the respective franchisee.
A bhc representative said, "Since the complaint has been filed with the court, the company will review and respond legally at the corporate level."
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