Former Burger King Chair and CEO Supports La-Van Hawkins' Claims Against Burger King Corp. <b></b>
Detroit-In a major development in the La-VanHawkins vs. Burger King Corp. $1.9 billion lawsuit, former chairand CEO of Burger King, Robert Lowes, has stepped forward in totalsupport of claims made by La-Van Hawkins against the Burger KingCorp. This development could significantly change the direction ofthe lawsuit because Lowes will provide inside informationconfirming Burger King's agreement with Hawkins on thedevelopment and acquisition of 225 stores over a period of fiveyears.
The relationship between Hawkins and Burger King began in 1995when Burger King fraudulently induced Hawkins to build Burger Kingstores and become a franchisee, targeting the inner-city market.Recognizing the potential of urban locations, Burger King announcedthat it would join forces with Hawkins, who had solidly carved outa national reputation as a franchise luminary, offering him theopportunity to acquire and/or develop Burger King restaurants overa five-year period, at the rate of 45 restaurants per year.
In April of this year, Hawkins filed a lawsuit alleging thatBurger King fraudulently induced him to Burger King and reneged onits commitment to help him open 225 inner-city stores in urbanmarkets throughout the country.
In April, represented by internationally recognized trialattorney, Willie Gary, with Michigan attorney, Norman Yatooma,Hawkins emerged victoriously in the first round of the $1.9 billionlawsuit. Florida Chief U.S. District Judge William Zloch stayedBurger King's action against Hawkins' UrbanCity Food Groupin Florida. Burger King's lawsuit included a request for aninjunction to close down Hawkins' 27 franchise restaurants inMichigan and throughout the country. The court ruled that where thelitigation was first filed dictates where the proceedings will belitigated when there is a substantial overlap between the issuesraised in parallel proceedings in two different jurisdictions.Accordingly, the court ordered that Burger King's action was tobe marked as closed.
Hawkins is the nation's most successful African-Americanfranchisee, with sales in excess of $192 million per year. -PRNewswire
