What is the case number for the Black Donuts, Inc. lawsuit against Big O Tires?
Big_O_Tires Franchise · 2025 FDDAnswer from 2025 FDD Document
Black Donuts, Inc., Jan W. Talbot, Jeff Magna; T&T Pasadena, Inc., T&T Thousand Oaks, Inc., T&T Glendora, Inc., Tareq Nasrallah, Tony Nasrallah, G&G 2000, Inc., Jerry Riccio, Greg Minshell, Manzano, Inc., Kevin Raach, Chula Vista Tire, Inc., Jeff Yasukochi, Big Red Tire, Inc., James Park, Felix Bros, Inc., Felix Tires, Inc., Ralph Felix, Randy Scott, MDS Enterprises, Inc., Michael J. Sullivan, Kennedy, Phillips & Gunnell Enterprises No. 66, Paul Fuller, Gene Renner, Rex Weissenbach v. Sumitomo Corporation, Sumitomo Corporation of Americas, Big O Tires, LLC, TBC Corporation, Dwayne Freshnock, Craig McDonald, Bill Ketchem, Art Beahm, Marvin Hayes, Greg Rocquet. Case Number BC427136, Superior Court of California for the County of Los Angeles. Plaintiffs, both current and former franchisees of ours, filed the initial Complaint in December 2009. Plaintiffs alleged that Big O made false statements and representations and withheld information that the Plaintiffs alleged was important in connection with their purchase of their Big O franchise. Plaintiffs initially claimed breach of contract, breach of implied covenant of good faith and fair dealing, interference with existing economic relations, fraud in the inducement, negligent misrepresentation, negligent hiring, firing and supervising, and violations of the California Unfair Business Practices Act and the California Business and Professions Code, Section 17200, et seq. Plaintiffs sought declaratory relief, rescission of contract and an award of general and special monetary damages. All Defendants except Big O were dismissed. Further, the Court and/or Plaintiffs dismissed all claims except breach of contract, breach of implied covenant of good faith and fair dealing, fraud and declaratory action. In light of the appeal in a related proceeding, the
case was stayed. But after the Court of Appeals in the related proceeding affirmed the decision on May 24, 2013, the stay was lifted and Plaintiffs Randy Scott, Jerry Riccio, Greg Minshell and G&G 2000, Inc. voluntarily dismissed their complaints with prejudice. The case progressed with respect to Michael Sullivan. Big O filed a motion for summary judgment; the Court granted the motion in part and dismissed all but one of Mr. Sullivan's claims. The parties settled with a nominal payment from Big O. Big O maintained counterclaims against several of the remaining plaintiffs, which resulted in the gross amount of $42,500 from such plaintiffs to Big O. The Court dismissed the case on March 24, 2016.
Source: Item 3 — LITIGATION (FDD pages 12–14)
What This Means (2025 FDD)
According to Big O Tires's 2025 Franchise Disclosure Document, the case number for the lawsuit filed by Black Donuts, Inc. against Big O Tires, among other defendants, is BC427136. The case was filed in the Superior Court of California for the County of Los Angeles. The initial complaint was filed in December 2009 by plaintiffs who were current and former Big O Tires franchisees.
The plaintiffs in the Black Donuts, Inc. lawsuit alleged that Big O Tires made false statements and representations and withheld information regarding their purchase of the Big O Tires franchise. The plaintiffs initially claimed breach of contract, breach of implied covenant of good faith and fair dealing, interference with existing economic relations, fraud in the inducement, negligent misrepresentation, negligent hiring, firing and supervising, and violations of the California Unfair Business Practices Act and the California Business and Professions Code, Section 17200, et seq. They sought declaratory relief, rescission of contract, and an award of general and special monetary damages.
All defendants except Big O Tires were dismissed from the case. The court and/or plaintiffs also dismissed all claims except breach of contract, breach of implied covenant of good faith and fair dealing, fraud, and declaratory action. After an appeal in a related proceeding affirmed the decision on May 24, 2013, the stay was lifted, and some plaintiffs voluntarily dismissed their complaints. The case progressed with respect to Michael Sullivan, and Big O Tires filed a motion for summary judgment, which the court granted in part, dismissing all but one of Mr. Sullivan's claims. The parties eventually settled with a nominal payment from Big O Tires. Big O Tires maintained counterclaims against several of the remaining plaintiffs, resulting in a gross amount of $42,500 from such plaintiffs to Big O Tires. The court dismissed the case on March 24, 2016.