August 20, 2012
Nearly three months after being sued for racial discrimination, another similar suit has been filed against Canton, Mass.-based Dunkin' Brands.
According to the New York Post, the latest case accuses the company of "systematic racial discrimination," for steering minority franchisees to deprived neighborhoods and white operators to more affluent locations.
The suit was brought forth this week by former franchisees in a New Jersey Superior Court. Reggie and Amy Pretto allege that Dunkin' Brands "steered" them to open outlets in poor neighborhoods, claiming that no opportunities were available elsewhere.
The African-American couple from Montclair, N.J., also claims that the company lied about how much money their stores would make. They filed for bankruptcy in 2007 after their Maryland stores struggled.
Dunkin' Brands operates nearly 7,000 franchises in the U.S., with approximately 50 owned by African-Americans. Of those, the majority are located in "economically less advantageous areas," according to the suit.
According to the couple's attorney, the Prettos are seeking corrective damages so Dunkin' ensures equality opportunity for franchises.
Dunkin Brands doesn't comment on matters in litigation.
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