NZ burrito franchise collapses, franchisees still trading

posted on 22nd October 2013

The Original California Burrito Company has closed all its stores, with the exception of two franchised outlets and two in Australia, following a marital dispute between the owners. The New Zealand company is owned by Food Retail Group, not to be confused with the Retail Food Group, the Australian listed company. A Wellington couple who signed up to open a franchise in Cuba Street are seeking more than $200,000 in damages.

Australian businessman Jeff Moss opened the first Original California Burrito Company store in Auckland in 2011. He said yesterday that things turned sour in May when he separated from his wife, Lisa Krukziener, the property developer's sister.

She and Andrew Krukziener took out an urgent court injunction against Food Retail Group, the firm that owns the burrito chain's intellectual property, outlets and franchise system, Mr Moss said. 'Unfortunately, as a result [of the injunction], the banks withdrew support and the business has now collapsed.'

Read more at http://www.nzherald.co.nz/b...

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