Vodafone has terminated the contracts of 12 franchisees who are part of a £120m High Court claim against the telecoms group. The lawsuit, initiated by 62 franchisees, alleges Vodafone 'unjustly enriched' itself by cutting commissions and imposing fines. Vodafone refutes the claims, stating the terminations are due to negative campaigning impacting their franchise program.
Vodafone terminates contracts of 12 franchisees who joined £120m lawsuit
VodafoneTelecommunications industryBusinessUK
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TL;DR: Key points with love ❤️Vodafone has terminated the contracts of 12 franchisees who are part of a £120m High Court claim against the telecoms group. The lawsuit, initiated by 62 franchisees, alleges Vodafone 'unjustly enriched' itself by cutting commissions and imposing fines. Vodafone refutes the claims, stating the terminations are due to negative campaigning impacting their franchise program.
Trending- 1 December (previous year): 62 franchisees launched a £120m legal case against Vodafone
- 2 Two years before lawsuit: Whistleblowers warned Vodafone executives about franchisee financial ruin
- 3 Last month: Talks to settle the dispute ended without resolution
- 4 Earlier this month: Vodafone sealed a £16.5bn deal to combine its British arm with Three UK
- 5 Recently: Vodafone terminated contracts of 12 current franchisees involved in the lawsuit
- 6 Thursday (June 13, 2025): VodafoneThree joint venture announced plans to close some stores
- 12 franchisees had their contracts terminated
- The legal dispute continues and may proceed to the High Court
- Impact on Vodafone's franchise program
- Potential store closures due to Vodafone-Three UK merger
- Financial distress and mental health issues reported by some franchisees
What: Vodafone terminated the contracts of 12 franchisees who are involved in a £120m high court claim against the company. The lawsuit alleges Vodafone 'unjustly enriched' itself by slashing commissions and imposing fines on franchisees.
When: Recently (contracts terminated); legal case launched in December (previous year); talks to settle ended last month; merger announced earlier this month.
Where: United Kingdom (Vodafone UK, high street stores)
Why: Vodafone stated the terminations were due to concerns about 'negative campaigning' impacting their franchise program. Franchisees claim Vodafone's actions, including cutting commissions and imposing fines, led to financial ruin and 'unjust enrichment' for the company.
How: Vodafone terminated contracts of franchisees who continued to operate stores while pursuing legal action. The legal case involves allegations of unilateral fee cuts, 'swingeing fines,' and pressure to take out loans by Vodafone.