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Inland Empire news by IE Biz Hub.002
Inland Empire news by IE Biz Hub.002

Local franchisees sue 7-11

The owners of a Riverside 7-11 are suing the convenience store chain’s parent company in federal court, claiming the store was taken away from them without cause.

Dilip and Saroj Patel, who owned and operated the store at Magnolia and Jurupa avenues for more than two decades, lost the business in December for alleged fraud and mishandling coupons, according to a report originally published in The Press-Enterprise.

The lawsuit, which was filed in U.S. District Court for the Central Court, alleges that 7-11 officials used harsh and coercive tactics during lengthy interviews to force the Patels to end their franchise agreement.

Also, 7-11 executives took action against the Patels with no concern for their financial situation: they were not given time to consider the matter, and selling the rights to the store under normal circumstances could have netted the couple up to $440,000, according to the report.

Officials with Dallas-based 7-11 declined to comment.

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