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Domino's Canada can't cut ties with North Vancouver franchise, ruled B.C. Supreme Court

03/11/2015 02:47 EDT | Updated 05/11/2015 05:59 EDT
A B.C. Supreme Court judge has ruled  Domino's Canada cannot sever ties with a North Vancouver franchise based on mere allegations of employee exploitation.

A CBC investigation last month revealed allegations from two former employees of the franchise, who claimed their bosses assaulted them and withheld pay for several weeks.

The allegations had not been proven in court, and the franchise owners denied the allegations. However, police were investigating and the employees filed complaints with the Employment Standards Branch of B.C.

Five days later, Domino's Canada terminated its contract with the franchise on West 3rd Street in North Vancouver.

In a letter to the operators, the company wrote "you have conducted yourselves in a manner that adversely affects the reputation of the store and the goodwill associated with Domino’s Pizza."

The operators, brothers Farhad Iranmanesh and Keyvan Iranmanesh, have called the allegations "unproven" and from two "rogue employees."

Some current employees also denied the allegations, according to court documents.

The Iranmaneshs asked for an injunction in B.C. Supreme Court to prevent Domino's Canada from terminating the franchise agreement, which is a ten-year contract with six years remaining.

In the court decision this week, judge Nathan Smith found that if the allegations from the former employees were true, Domino's Canada would have the right under its contract to cut ties with the Iranmaneshs.

However, Smith emphasized the allegations had not been proven either true or false, therefore he granted the brothers an injunction and required Domino's Canada to pay their court costs.

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