The Butter Factory is reclaiming back their name and branding rights from one of its franchisee located in Kuala Lumpur.
Malaysian operator JV Entertainment who is the company that operates The Butter Factory KL has lost its franchise agreement. This is all due to “numerous breaches by JVE of the franchise agreement”.
These breaches includes the “breaches of non-competition clauses and breaches that The Butter Factory Group views as impairing its long-standing reputation, goodwill, value and operation standards”.
The franchise fee to open The Butter Factory cost about $2.45 million. It is launch in August 2012.