Court Rejects Petitions from Both Ex-Franchisee, Seven-Eleven Japan

Society Economy

Osaka, Sept. 25 (Jiji Press)--Osaka District Court has rejected a petition from the former owner of a Seven-Eleven convenience store to recognize his status as the owner of the franchise outlet, it was learned Friday.

The court also dismissed Seven-Eleven Japan Co.'s petition seeking an order requiring the former owner to surrender the outlet.

In the rulings, made Wednesday, Presiding Judge Hiroyuki Naito said the termination of the franchise contract with the then outlet owner, Mitoshi Matsumoto, 59, is valid because he violated contract terms, citing Matsumoto’s tweets criticizing the Seven-Eleven Japan headquarters and his violent act against a customer.

The judge also said Matsumoto should be allowed to keep the store because without it he cannot resume business even if he wins the lawsuit.

Matsumoto shortened the operating hours of his outlet in the city of Higashiosaka, Osaka Prefecture, in February last year at his own decision due to a manpower shortage. In the wake of this, the headquarters urged him to open the store around the clock again while threatening to terminate the franchise contract and seek penalty payment.

[Copyright The Jiji Press, Ltd.]

Jiji Press