The hand that feeds you

Originally published on February 17th, 2013 in the Boston Globe.  When customers drop change in a coffee shop’s tip jar, they expect the money will go to the employees who made their latte or served their doughnut. But recent court decisions have led to some of those employees being unfairly deprived — a problem the…

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First Circuit Affirms Win for Starbucks Baristas over Tip-sharing

Starbucks Corp. owes baristas in Massachusetts $14.1 million for a policy that gave shift supervisors a share of the tips, the U.S. Court of Appeals for the First Circuit has ruled. On November 9, a unanimous panel affirmed a March 2011 class certification ruling and a January 2012 final judgment and damages ruling by Judge…

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Tim Horton’s Ruling may be a Cautionary Tale for Dunkin’ Donuts Franchise Owners

A Canadian court ruling involving Tim Horton’s may be cautionary tale for Dunkin’ Donuts franchisees. The case was brought by a group of Tim Horton’s franchise owners after they were forced to sell items at below cost and switch to more expensive pre-baked donuts from a supplier affiliated with the franchisor. Franchise attorney Eric H. Karp of the Boston firm Witmer, Karp, Warner & Ryan, LLP, closely followed this case and kept DDIFO apprised of its developments. After the decision was announced, DDIFO commissioned him to write a comprehensive summary of this ruling.

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Starbucks K-Cup Packs Hit Shelves

Starbucks coffee K-Cup Portion Packs for the Keurig Single-Cup Brewing system hit store shelves this week at major food, drug, mass, club, specialty, and department store retailers throughout the U.S.

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Independent Franchisee Associations Grow

Stan Turkel posts at BlueMauMau that Experts estimate that there are 300 to 400 independent organized groups of franchisees, which are increasing. Julie Bennett of Franchise Times reports in the September issue that they range from “giants like the North American Association of Subway Franchisees serving almost 24,000 domestic units and run by a professional staff in Fairfield, Connecticut, to Expetec… an association of 24 franchisees.”

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Starbucks steps up K-Cup competition with Dunkin’

Starbucks Corp. .. (Nasdaq: SBUX) said Tuesday that it will be selling single-serving K-Cups for the Keurig coffee machine in grocery stores in November, signaling a challenge to Dunkin’ Brands Inc. .. (Nasdaq: DNKN), which this month began selling K-Cups in Dunkin’ Donuts franchises only.

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