McCune Wright Arevalo, LLP is investigating an employee class-action lawsuit against Papa John’s alleging that it has unfairly restricted hard-working employee wages resulting from its franchise agreement prohibiting certain of its franchisees from hiring each other’s employees, an alleged violation of federal antitrust laws. Such agreements are called “no-poach” agreements. The no-hire contract provision at issue is part of the franchise agreement between defendant Papa John’s and certain of its franchisees' stores.
Under terms of the franchise agreement, Papa John’s franchisees are prohibited from hiring any employee of Papa John’s or another franchisee of Papa John’s. Franchisees are likewise prohibited from soliciting such persons to seek employment with them.
McCune Wright Arevalo is already pursuing lawsuits against McDonald’s and Jimmy John’s based on a similar provision in their franchise agreements. McDonald’s and Jimmy John’s filed a motion to dismiss those lawsuits. Two different Federal Judges ruled that those cases could proceed. If the case against Papa John’s is successful, the lawsuit could return significant lost wages back to the employees.
If you are or were an employee of Papa John’s, it is likely you would have been subjected to these unfair no-hire, no-solicit clauses, and we would like to talk with you about your experience.
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