A group
of Canadian holders of Tim Hortons franchises has hired a lawyer to challenge
the managers who took over when Berkshire Hathaway and 3G Group of Brazil
bought the chain in 2014 and merged it with Burger King.
The
group which calls itself the Great White North Franchisee Association claims
the 3G managers of Restaurant Brands International Inc. are destroying the
chain by cost cutting that is lowering quality.
The
Globe and Mail reports it obtained a March 10 letter that outlines the
complaints about using cheaper, lower quality products and equipment, including
coffee pots that are made of “subpar or thinner glass” and break; hot holding
trays that crack under heat; cups for Iced Capp frozen coffee drinks with thin
walls that crush when lids are applied; and holiday mugs that were recalled due
to poor quality and unavailable at the height of the Christmas season.
The
Globe and Mail previously reported how the management team was fired and
replaced with recent business-school graduates devoted to cost-cutting goals.
Those
huge changes “have shaken the system, threatened the brand and affected the
ability of franchisees to carry on viable businesses,” John Sotos of law firm
Sotos LLP, which represents the association, says in the letter, which is
addressed to RBI chief executive officer Daniel Schwartz, Tim Hortons president
Elias Diaz and company lawyers.
