Court Action Threatened By Franchise Holders

November 13, 2006 by Mark | 0 Comments

Ic Newcastle:

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Franchise holders in the collapsed Furniture Express business are threatening court action to free themselves from their contracts.

A month after the business - formerly Durham Pine - plunged into administration for the second time, its franchisees are crying foul over the company’s declining fortunes hurting their businesses.

The franchisees were already angry about what they claim was a lack of service - and profile - provided by the previous management.

But now administrators PricewaterhouseCoopers have sold the franchise contracts previously held by Furniture Express to a new company called Cobco 808 set up in Halifax, West Yorkshire.

The franchisees say this company does not have the infrastructure or experience to operate the franchises to best effect - yet they are still obliged to continue on the same terms as when Durham Pine was a nationwide, £65m turnover business with a well known brand.

In Franchising in UK / Ireland /, News

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