Subway Affiliate Wins Franchising Case

October 13, 2008
, Vol. 34, No. 41

A complex arbitration case involving restaurant franchising has ended with a victory for a company that owns Connecticut-based Subway Inc. and more than $800,000 in legal fees for New Haven's Wiggin and Dana.
In 2003, four successful Utah homebuilders met chef-turned-entrepreneur Jason Stowe, who was building an early Bajio Grill restaurant.  They were impressed with the restaurant's fresh concept, which is based on the light cuisine of the central Mexican state of Bajio.  Think lime, mangoes, and flavorful marinades.
Five years later, the arbitration they eventually sought has left an unexpectedly bitter aftertaste.