Roll Out the Changes to Win: Court Grants Summary Judgment to Tim Hortons in Proposed Class Action

Published: 05/17/2012

By Colin Pendrith, Frank Robinson, Derek Ronde, Geoffrey B. Shaw, Larry M. Weinberg

Earlier this year, Cassels Brock sent out a Franchise Law e-Lert regarding the recent Ontario Superior Court of Justice decision in Fairview Donut Inc. v. The TDL Group Corp. In this case, the court granted summary judgment to Tim Hortons, a national Quick Service Restaurant (QSR) franchisor, with respect to a class proceeding brought on behalf of its franchisees in regards to changes to the Tim Hortons franchise system and allegations that Tim Hortons wrongly profited from these changes. Franchisors operating in Canada should be aware of this decision and its holding that franchisors have the right to make changes to their franchise systems and to profit from product distribution within these systems.

A copy of this e-Lert can be found here.

Geoffrey Shaw will be speaking about the decision at the upcoming Ontario Bar Association Franchise Law dinner program, “Wake up and Smell the Coffee! - What You Need Know About the Tim Horton's Decision” on May 29, 2012 in Toronto, Ontario. A link to the event can be found here.