Advanced Caregivers LLC v. ACE Hardware Corporation
Court: United States District Court for the Northern District of Illinois
On January 6, 2012, Wexler Wallace, LLP, with co-counsel Zimmerman Reed, PLLP and Patrick R. Burns, Esq., filed a class action complaint against ACE Hardware Corporation on behalf franchisees of ACE Vision 21 stores, alleging that ACE made material misrepresentations regarding the likely success Vision 21 franchises, inducing investment in those stores under false pretenses. The complaint alleges that ACE’s misrepresentations violated the Illinois Franchise Disclosure Act and also includes other tort causes of action.
Specifically, the complaint alleges that in the early 2000s, ACE implemented the “Vision 21” concept, the stated purpose of which strategy was to “align ACE’s resources for retail success.” ACE provided new and already existing ACE franchises with materials and information that led either to the investment in new Vision 21 stores or the conversion of ACE stores which had, in some cases, been successful for decades, into Vision 21 franchises. Despite ACE’s representations that over 90% of Vision 21 stores succeed, many Vision 21 franchises have never approached even near the level of success ACE represented they would. In many cases, failing from the outset, franchises have had to close not long after opening.
Plaintiffs seek to recover damages in the amounts required to open or convert their franchises as Vision 21 ACE hardware stores – amounts which they never would have invested had ACE provided them with a true picture of the store’s likely success.
To learn more about the case and view the Complaint, click here.
If you believe that you have invested in an ACE franchise based on misrepresentations about your likely success, or would like more information about this action, please contact us or complete our online form.