Popeyes sues Iowa franchisee for continuing operations after franchise termination

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    Popeyes Louisiana Chicken is suing an Iowa franchise owner for continuing to operate under the restaurants’ name despite the termination of their franchise agreement.

    Iowa franchisee and Illinois resident Asif Poonja and Jam Equities, his limited liability company, failed to operate according to Popeyes’ standards “with regard to food safety and brand standards” and thus lost the right to use their trademark, according to a lawsuit filed Sept. 5 in the U.S. District Court for the Southern District of Florida, Miami Division.

    The five locations listed in the suit include:

    • Coralville: 750 Coral Ridge Ave
    • Cedar Rapids: 3401 E Ave
    • Waterloo: 4015 Lowes Blvd
    • Dubuque: 4825 Asbury Road
    • Des Moines: 4140 Merle Hay Road

    The lawsuit alleges the company sent letters to the Coralville location in May and June 2025, and to the Cedar Rapids location in October 2024 and June 2025, notifying them of their defaults and warning them to address the issues.

    When the restaurants failed a follow-up inspection in August, Popeyes’ corporation informed them that their franchise agreements had been terminated.

    Under the agreement, franchisees must stop operating as Popeyes restaurants, remove all related signage, and discontinue the use of the company’s trade secrets and promotional materials.

    Popeyes is seeking an injunction to keep Mr. Poonja and Jam Equities from operating any chicken restaurants within a 10-mile radius of the listed Popeyes restaurants for two years. The company is also seeking the return of all promotional materials and restaurant manuals, as well as an unspecified amount of money.

    A Popeyes under construction at 1926 Keokuk St. In Iowa City
    A Popeyes under construction at 1926 Keokuk St. In Iowa City in August 2025. CREDIT ANNIE SMITH BARKALOW

    Asif Poonja’s name is listed as the registered agent for Jam Investments of Iowa City, LLC, which is currently building a Popeyes at 1926 Keokuk St. In Iowa City

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