Franchisers threaten to sue Delhaize over logistical problems

Franchisers of Belgian retailer Delhaize threaten to sue their franchisee as its logistical problems continue. Deliveries remain problematic, fuelling franchisers’ frustrations.

Structural problem

The problems are not new, but became structural as Delhaize’s brand new automated distribution centre opened in 2018. On top of the existing situation, however, now comes the damage of the floods in Wallonia. As dozens of stores had to throw away all their stock and start again from scratch, they are given priority over the supply of other stores.

The franchisers have been demanding financial compensation for the missed deliveries for a while now, but as a sufficient answer has not yet been received, the franchisers’ patience seems to be running low now. Federation buurtsuper.be has now issued an ultimatum, saying that if Delhaize has not compensated its franchisers by this autumn, it will start legal procedures.

That threat is not impressing the supermarket chain, saying that it “is putting every effort in to repair the logistical situation, which has been influenced by several causes – especially the floods and their collateral effects on the supply chain”.