Pick n Pay franchise fracas heads to court
A long-running dispute between Pick n Pay and one of its biggest franchisees will now be settled in court, after the franchise group claimed changes to the retailer’s discounting model caused it to accumulate debt of nearly R200m
22 February 2024 - 05:00
One of Pick n Pay’s major franchisees was scheduled to appear in the high court in Joburg this week, after the JSE-listed retailer brought an urgent application against his business to attach its assets.
Franchisee John Baladakis says the changes Pick n Pay made to its bulk discounting model in the past five years have had a huge impact on franchises’ cost of sales and gross profit, resulting in a steady accumulation of debt in his business. It became an indebted business and though the model changed again in May last year, it still carries the legacy of this debt...
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