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OTHER NEWS - July 14, 1993

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From Times Staff and Wire Reports

Jack in the Boxes Seek Investigation of Parent: Franchisees of the fast-food chain have called for a state probe of San Diego-based Foodmaker Inc. for possible franchise law violations. The franchisees are suing Foodmaker for reimbursement of profits lost since more than 600 cases of food poisoning were linked to hamburgers served at some of the chain’s West Coast restaurants. The Jack in the Box Franchisee Assn. alleged “egregious and ongoing violation” of state franchise laws by Foodmaker, stating in a letter to the state Department of Corporations that Foodmaker used “coercion, threats and promises” in settling franchisees’ complaints and took part in “association-busting” activities. A Foodmaker spokeswoman called the allegations “outrageous.”

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