Arbitrator Rules Snap-On Tools Franchisee Can Bring Class Action

It sends a message that Snap-on will no longer have the ability to implement deceptive business practices that have caused financial devastation to many franchisees. This decision will help to expose Snap-on's abuse of its franchisees as detailed on www.snap-onfranchisefraud.com," Marks said.

Marks & Associates
August 15, 2005

Arbitrator Rules Snap-On Tools Franchisee Can Bring Class Action
Press Release

In an arbitration decision that can have possible nationwide ramifications for the Snap-on Tool Corporation (NYSE: SNA - News), American Arbitration Association Arbitrator and former California Superior Court Presiding Judge, James M. Slater, ruled that Snap-on franchisees, can bring a class action in arbitration against Snap-on for alleged fraudulent practices.

Judge Slater held that Snap-on's franchisees "cannot meaningfully pursue their claims outside a class action" because the cost of litigation would cause "each case to be a negative return case even if successful".

"This is good news for lead plaintiff Richard Fortuna of Middletown, NJ and for all other Snap-on franchisees" said both Gerald A. Marks and Justin M. Klein, Red Bank, N.J. attorneys for the former dealer. "It sends a message that Snap-on will no longer have the ability to implement deceptive business practices that have caused financial devastation to many franchisees. This decision will help to expose Snap-on's abuse of its franchisees as detailed on www.snap-onfranchisefraud.com," Marks said.

"This is just one of multiple lawsuits being brought against Snap-on, both in arbitration and in court and the decision has nationwide implications for all 3,400 current Snap-on franchisees, as well as all former franchisees who claim that they were defrauded by Snap-on," said Mr. Klein.

Source: Marks & Associates


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