Domino's Pizza to appeal federal court class action ruling
- Domino's Pizza Enterprises announced its intention to appeal a Federal Court decision finding the company engaged in misleading and deceptive conduct regarding enterprise agreements.
- Following the announcement, the Domino's Pizza Enterprises share price was down at $19.58.
- The company stated it is pursuing the legal challenge because wider financial exposure remains uncertain pending individual causation hearings.
Domino's Pizza Enterprises (ASX:DMP) will appeal a Federal Court ruling requiring the company to pay lead applicant Riley Gall approximately $11,869.33 plus interest.
The Federal Court judgement relates to a class action commenced in June 2019 by former delivery drivers and in-store workers who alleged historical underpayments spanning from 2013 to 2018.
The court found that historical representations made by Domino's Pizza Enterprises concerning enterprise agreement coverage constituted misleading and deceptive conduct under Australian Consumer Law.
The company stated that its wider financial exposure to other group members remains unquantifiable because individual claims of causation require a separate future hearing.
Following the announcement, the Domino's Pizza Enterprises share price was down at $19.58.
Domino's Pizza Enterprises operates an extensive network of corporate and franchised quick-service pizza stores across Australia and international markets.
The company has previously faced ongoing scrutiny regarding franchisee operational compliance and historical workplace arrangements across its domestic store network.
