Jimmy John’s class action accuses franchisee of violating labor laws

Jimmy John’s labor laws class action lawsuit overview: 

• Who: Michael Holder filed a class action lawsuit against Bacus Foods Corp. 
• Why: Holder claims delivery drivers at Bacus-owned Jimmy John’s sandwich shop franchise locations were not adequately reimbursed or paid a legal minimum wage. 
• Where: The class action lawsuit was filed in Arizona federal court. 
• What are my options: Try Panera Bread as an alternative to Jimmy John’s.

Bacus Foods Corp. fails to adequately reimburse delivery drivers at its Jimmy John’s franchise stores in Nebraska, Kansas, Colorado, and Arizona for their delivery-related and other work-related expenses, a new class action lawsuit alleges. 

Plaintiff Michael Holder claims delivery drivers at Bacus-owned Jimmy John’s sandwich shop franchise locations are not paid “the legally mandated minimum wage for all hours worked.” 

Holder argues the Bacus Jimmy John’s locations do not reimburse their delivery drivers “at a reasonable approximation of the drivers’ vehicle expenses,” despite requiring them to “maintain and pay for operable, safe, and legally compliant automobiles.” 

“By failing to adequately reimburse for their delivery drivers’ vehicle expenses, the Bacus Jimmy John’s stores have unlawfully withheld and/or diverted wages from the delivery drivers,” the Jimmy John’s class action states. 

Holder wants to represent a nationwide class of all current and former delivery drivers employed at a Bacus Jimmy John’s store that was owned, operated and controlled by the defendants during the last three years, and a Nebraska class during the last four years. 

Jimmy John’s benefits from having delivery drivers use personal vehicles for work, says class action

Holder argues Bacus-owned Jimmy John’s locations also “received a benefit” by having delivery drivers use their own vehicles to complete deliveries, allowing the franchisees to “not have to incur the expense themselves.” 

“By requiring delivery drivers to provide the cars used to make deliveries for their business, Defendants avoid substantial risk and insurance costs that they would otherwise be required to cover,” the Jimmy John’s class action states. 

Holder claims the Bacus Jimmy John’s franchisees are guilty of unjust enrichment and violating the Fair Labor Standards Act, the Nebraska Wage and Hour Act, and the Nebraska Wage Payment and Collection Act. 

Plaintiff is demanding a jury trial and requesting declaratory relief along with an award of damages, including, among other things, unpaid wages, liquidated damages, and unreimbursed expenses. 

In another case involving a sandwich restaurant, a lawsuit was filed against Seven Out LLC — the owner of three Jersey Mike’s franchises — over claims revolving around retaliation and sexual harassment. 

Have you worked as a delivery driver at a Bacus-owned Jimmy John’s franchise? Let us know in the comments! 

The plaintiff is represented by Andrew P. KImble, Andrew R. Biller, and Joe Scherpenberg of Biller & Kimble, LLC. 

The Jimmy John’s labor laws class action lawsuit is Holder, et al. v. Bacus Foods Corp., et al., Case No. 2:23-cv-00763, in the U.S. District Court for the District of Arizona.

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