Franchise ends in row
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by Ian Wylie • A Nottinghamshire owner-driver is threatening to sue ARC Pre-Mix for witholding his earnings after a five-year franchise agreement turned sour.
ARC recruited Kevin Edwards 15 months ago after it had successfully tendered for work on the Derby South bypass. As part of the franchise deal, Edwards purchased a £43,000 truck and agreed to pay it off in monthly instalments of £1,050.
But by last month Edwards claims that his earnings from ARC had fallen so dramatically that he was forced to find work with another concrete mixer firm.
ARC agreed to release him from the franchise agreement provided he worked a month's notice and returned the truck.
Edwards, who has worked as an owner-driver for the past six years, has complied but says ARC is refusing to pay him his final month's earnings. The company is also holding back a £4,500 reserve payment, made by Edwards at the start of the contract, until he pays off the remaining truck finance. Edwards says he is willing to pay back the debt, but claims ARC has grossly undervalued the 15-month-old truck, pricing it at only £25,000.
Edwards, who won't receive any money from his new job until the end of December, says ARC's actions have left him deeply in debt. According to Edwards, only one out of five drivers recruited at the same time are still working for ARC.
Tim Sage, area manager at ARC Pre-Mix Shepshed plant, refutes the allegations. Many other ownerdrivers would be envious of Kevin's gross earnings over that period, he says. "We have obtained valuations on the truck from three dealers, and I think we have been more than generous with the offer we have made," says Sage.
"If he thinks it is unfair, we are happy to take it to arbitration."