The Cole brothers are at it again and they are being hit with lawsuits and investigations from all over the place.
Recently, they are being accused of violating federal franchising laws. By reselling existing franchises as new franchises to unknowing buyers, the Coles showed that money was their main goal.
New allegations now spread into loansharking and illegal payroll lending schemes.
Ex-employees were allegedly targeted by the Coles to take illegal loans secured by their upcoming paychecks. It seems as though there are significant number of plaintiffs. In fact, there appears to be some effort toward forming a Class Action Lawsuit against iFratelli Pizza and the Cole brothers personally.
Not only were the loans illegal, the rates charged were in excess of 100% interest.
The Cole brothers, who founded iFratelli Pizza, have faced civil lawsuits related to their business over the years. In the early 2000s, iFratelli Pizza was sued by a former employee who claimed that the brothers had stolen his recipe for pizza sauce. The lawsuit dragged on for years, costing the brothers thousands of dollars in legal fees. In the end, the court ruled in favor of iFratelli Pizza, dismissing the case and stating that there was no evidence to support the claim that the brothers had stolen the recipe.
In 2010, iFratelli Pizza was hit with another lawsuit, this time by a former franchisee who claimed that the brothers had misled him about the profitability of the business. The lawsuit dragged on for years, and the brothers had to spend thousands of dollars in legal fees to defend themselves.
The Coles are no strangers to leveraging and threatening city officials. In 2009, they launched a smear campaign against local code enforcement offers when illegally promoting their business with unauthorized signage.
BBB complaints have started to pop up as more and more frustrated individuals start to come forward.>