1851

More than 100 Subway franchisees released an <a href="https://elisabethdelucaopenletter.com/'?utm_source=1851franchise.com&utm_medium=article&utm_campaign=subway-franchisees-demand-concessions-from-owner-deluca-in-scathing-letter-2715546" target="_blank" rel="nofollow">open letter</a> on Monday to Elisabeth DeLuca, an owner of the company, alleging the franchisor is turning their dreams of owning a Subway franchise into a nightmare.The letter, authored by franchisees who represent 250 Subway stores (approximately 1% of the entire franchise), outlined several major issues such as corporate denying their requests for higher-quality ingredients, being forced to open too many locations that cannibalized their own sales, and having stores re-possessed by Subway Development Agents for seemingly unfair inspection results such as window smudges and the thickness of cucumber slices.The letter also said that Subway franchisees were forced to participate in a <a href="https://elisabethdelucaopenletter.com/'?utm_source=1851franchise.com&utm_medium=article&utm_campaign=subway-franchisees-demand-concessions-from-owner-deluca-in-scathing-letter-2715546" target="_blank" rel="nofollow">profit-losing $5 footlong promotion</a> during the COVID-19 pandemic. The franchisees said they had to cover their losses on the promotion with funds from <a href="https://1851franchise.com/the-ppp-loan-application-deadline-is-today-2713403">PPP loans</a>. They were additionally barred from reducing store hours during the pandemic, which they say would have helped reduce overall costs.“We had to take away from our families so that we can pay royalties to you, a multi-billionaire who does not need a bailout or any federal aid,” <a href="https://elisabethdelucaopenletter.com/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=subway-franchisees-demand-concessions-from-owner-deluca-in-scathing-letter-2715546" target="_blank" rel="nofollow">the letter said</a>.DeLuca was married to Fred DeLuca, co-founder and former CEO, until he passed away in 2015. Since then, <a href="https://www.businessinsider.com/subway-sale-rumors-ceo-john-chidsey-2021-4?utm_source=1851franchise.com&utm_medium=article&utm_campaign=subway-franchisees-demand-concessions-from-owner-deluca-in-scathing-letter-2715546" target="_blank" rel="nofollow">franchisees say she has been absent</a> and unwilling to communicate with franchisees.A West coast franchisee <a href="https://www.businessinsider.com/subway-franchisees-write-open-letter-to-owner-elisabeth-deluca-2021-4?utm_source=1851franchise.com&utm_medium=article&utm_campaign=subway-franchisees-demand-concessions-from-owner-deluca-in-scathing-letter-2715546" target="_blank" rel="nofollow">told Business Insider,</a> “She continues to live in the shadows. To actually effect a change, she has to come out of the shadows.”The letter proposes five distinct changes Subway corporate can make to improve the situation, which include allowing franchisees to directly lease their stores, allowing franchisees to source fresh vegetables and offer higher quality ingredients, and preventing Subway corporate from gathering royalties in the form of PPP loans and federal aid.Franchisees also made sure to address the rumors about <a href="https://1851franchise.com/subway-rumored-to-be-for-sale-what-franchisees-are-saying-2715477">Subway’s imminent sale</a>, requesting “a royalty rebate of 8% of the sale, to be proportionally distributed to the Franchisees by gross sales, as a sign of good faith for all of the turmoil, and heartache that we have endured throughout Subway’s 40+ year history.”When asked to comment on the letter, a Subway representative told <a href="https://www.businessinsider.com/subway-franchisees-write-open-letter-to-owner-elisabeth-deluca-2021-4?utm_source=1851franchise.com&utm_medium=article&utm_campaign=subway-franchisees-demand-concessions-from-owner-deluca-in-scathing-letter-2715546" target="_blank" rel="nofollow">Business Insider</a> that the letter was not representative of most franchisees’ opinions and that Subway is committed to "working hand-in-hand with them to ensure decisions are focused on maximizing their profitability."

Subway Franchisees Demand Concessions From Owner Deluca In Scathing Letter

1851 Franchise

Amid swirling rumors of a sale, Subway franchise owners are publicizing their grievances with the brand that has turned their American dream into a nightmare.

subway-franchisees-demand-concessions-from-owner-deluca-in-scathing-letter

Seniors Helping Seniors®

Photo of two people, with white hair, sitting on couch, smiling at each other

Seniors Helping Seniors® In-Home Care Services Expands in Manassas and Fredericksburg, Virginia

seniors-helping-seniors-in-home-care-services-expands-in-manassas-and-fredericksburg-virginia

BooXkeeping

Tech-Driven Bookkeeping: How BooXkeeping Franchisees Are Embracing the Future

tech-driven-bookkeeping-how-booxkeeping-franchisees-are-embracing-the-future

Fitness Premier

Fitness Premier's State-of-the-Art Facilities and Multi-Discipline Approach Fuels Franchise Owner Success

fitness-premiers-state-of-the-art-facilities-and-multi-discipline-approach-fuels-franchise-owner-success

Melting Pot

Melting Pot 50th anniversary photo, featuring three people enjoying celebratory drinks and fondue

Melting Pot Celebrates 50 Years of Fondue Magic With a Year of Special Menus, New Offerings and Unforgettable Moments

melting-pot-50th-anniversary-fondue-celebration

Filta Environmental Kitchen Solutions

Kathy Turner: The Filta Franchisee Keeping LA's Kitchens Cooking (and Green)

kathy-turner-the-filta-franchisee-keeping-las-kitchens-cooking-and-green

Buying a Franchise Masterclass

 Franchise Opportunities

Get Support Buying a Franchise

How to Buy a Franchise White Paper

How to Buy a Franchise

How to Sell Franchises

How to Grow a Franchise

Find a Franchise Supplier

1851 Franchise Opportunities

Franchisor News

Franchisor Power Rankings

FranCamp Mastermind Summit

Franchise Resources

What ALEC-Laffer's Report Means for Franchising

Website Awards

Power Rankings

About 1851

Advertise on 1851

Contact 1851 Editorial

Terms of Use

1851 Login

GROWTH CLUB LOGIN

facebook

instagram

twitter

linkedin

youtube

Yum! Brands CEO David Gibbs To Retire in 2026 After 36 Years With the Company

yum-brands-ceo-david-gibbs-to-retire-in-2026-after-36-years-with-the-company

Hooters Bankruptcy - Chapter 11 - April 2025 - 1851 Franchise

Hooters Files for Bankruptcy, Sells Restaurants to Franchisee Group

hooters-bankruptcy-chapter-11-april-2025

Fly Dance Fitness Expands With First Franchise Location in Georgia

fly-dance-fitness-franchise-expansion

&pizza - Fast-Casual Pizza Chain Begins Franchising - 1851 Franchise

&pizza Embraces Franchising To Fuel Bold New Growth Strategy

andpizza-franchising-ceo-mike-burns

CFOs See Recession as Likely in ’25; Why Now Is the Time To Water the Franchise Buyer Seeds

cfos-see-recession-as-likely-in-25-why-now-is-the-time-to-water-the-franchise-buyer-seeds

Paris Baguette Ranks Among Top Franchises on Entrepreneur’s Franchise 500® for 2025 - 1851 Franchise

Paris Baguette Ranks Among Top Franchises on Entrepreneur’s Franchise 500® for 2025

paris-baguette-ranks-among-top-franchises-on-entrepreneurs-franchise-500-for-2025

1851 Agg - McDonald's Sales Decline Expansion Continues - 1851 Franchise

McDonald’s Franchisees Feel the Pressure as Sales Decline and Expansion Continues

mcdonalds-franchisees-feel-the-pressure-as-sales-decline-and-expansion-continues

Florida Franchisee Reflects on Success and Growth with Sylvan Learning

florida-franchisee-reflects-on-success-and-growth-with-sylvan-learning

Franchise Deep Dive: Studio Pilates Franchise Costs, Fees, Profit and Data

franchise-deep-dive-studio-pilates-franchise-costs-fees-profit-and-data

Military Veteran and Craft Beer Enthusiast to Bring Voodoo Brewing Co. to Toledo, Ohio

military-veteran-and-craft-beer-enthusiast-to-bring-voodoo-brewing-co-to-toledo-ohio

Subway Franchisees Demand Concessions From Owner Deluca In Scathing Letter

MORE STORIES LIKE THIS