{"id":96613,"date":"2026-06-20T10:52:07","date_gmt":"2026-06-20T10:52:07","guid":{"rendered":"https:\/\/www.europesays.com\/canada\/96613\/"},"modified":"2026-06-20T10:52:07","modified_gmt":"2026-06-20T10:52:07","slug":"a-court-case-reveals-some-of-tim-hortons-secrets","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/canada\/96613\/","title":{"rendered":"A Court Case Reveals Some of Tim Hortons\u2019 Secrets"},"content":{"rendered":"<p class=\"css-140ip4z e1me5xab0\">Tim Hortons\u2019 iconic status in Canada means that owning one of its franchises has become seen as the next best thing to winning a lottery.<\/p>\n<p class=\"css-140ip4z e1me5xab0\">But even lottery wins come with headaches. In a Montreal court, 15 franchise holders are suing Tim Hortons for 27 million Canadian dollars for profits that they claim the company\u2019s policies and practices have denied them.<\/p>\n<p class=\"css-140ip4z e1me5xab0\">Like much in the Canadian court system, the case is moving sluggishly. The lawsuit was filed in March 2024.<\/p>\n<p class=\"css-140ip4z e1me5xab0\">But this month, Tim Hortons submitted a document challenging its franchise holders\u2019 claims and asking the Quebec Superior Court to dismiss the case. Most interesting of all, it also offers a peek behind the curtain at some of Tim Hortons\u2019 secrets, particularly around how much customers pay and how it rewards loyal double-double drinkers.<\/p>\n<p class=\"css-140ip4z e1me5xab0\">You aren\u2019t mistaken if you think Tim Hortons\u2019 prices have soared since the Covid pandemic and Russia\u2019s full-scale invasion of Ukraine.<\/p>\n<p class=\"css-140ip4z e1me5xab0\">By the company\u2019s calculations in the filing, general inflation rose by 18.4 percent between 2021 and 2024. But Tim Hortons\u2019 customers in Quebec paid 21.1 percent more during the same time.<\/p>\n<p class=\"css-140ip4z e1me5xab0\">Among many factors, the dissident franchise holders blamed their lost profits on their inability to set prices. In dismissing that idea in its court filing, Tim Hortons confirmed that what customers pay depends on where they live.<\/p>\n<p class=\"css-140ip4z e1me5xab0\">The company has divided the country into 62 \u201cprice clusters.\u201d In each of them, it constantly adjusts prices based on a variety of factors, including local competition, labor costs, income and the number of customers who pass through. Four times a year, the company tests prices.<\/p>\n<p class=\"css-140ip4z e1me5xab0\">It uses that data to set prices at the highest possible level that won\u2019t send customers fleeing down the street to, say, McDonald\u2019s for a better deal. Or, as the court filing put it, the system is about \u201cbalancing competitiveness with profitability.\u201d<\/p>\n<p class=\"css-140ip4z e1me5xab0\">The court filing also shows that there is no such thing as a free coffee. It includes a chart showing that a combination of price increases and reduced loyalty benefits made Tims Rewards \u201cself funded\u201d within a year of its introduction in 2019. Habitu\u00e9s of Tim Hortons are effectively rewarding themselves along with customers who don\u2019t participate.<\/p>\n<p class=\"css-140ip4z e1me5xab0\">The franchise owners who took Tim Hortons to court want to see operating profit margins of about 15 percent. According to Tim Hortons, most of them achieved between about 9 percent and 14 percent.<\/p>\n<p class=\"css-140ip4z e1me5xab0\">While short of the franchisees\u2019 target, those profit margins would be the envy of most restaurant owners across the country. A survey by Restaurants Canada, an industry group, found that 36 percent of its members were losing money or just breaking even in the first three months of this year. Only 13 percent had profit margins of more than 10 percent.<\/p>\n<p class=\"css-140ip4z e1me5xab0\">In the court filing, Tim Hortons notes that one of the 15 franchise holders made 1.4 million Canadian dollars from his five restaurants in the Gasp\u00e9 region in 2023 and has purchased four helicopters since 2021 and started an aviation business.<\/p>\n<p class=\"css-140ip4z e1me5xab0\">Nevertheless, the document, which includes the lengthy franchise contract, makes it clear that the restaurant owners are largely at the mercy of Tim Hortons and that the company is constantly putting its hand into their pockets.<\/p>\n<p class=\"css-140ip4z e1me5xab0\">With some minor exceptions, they must buy all their food, supplies and equipment from Tim Hortons or from suppliers the company has chosen. The contract requires them to repaint their shops every year and renovate them every five years. In addition to their franchise fees, the owners turn over royalty payments based on sales every week (with steep late fees for delayed payments) and contribute monthly for advertising. They even have to pay Tim Hortons to advertise the opening of new restaurants although they have no say over what the company does with that money.<\/p>\n<p class=\"css-140ip4z e1me5xab0\">But there is one area where the franchise holders have total autonomy. Tim Hortons makes the hiring of management and paying of employees entirely the franchise owners\u2019 responsibility. The people who pour your coffee or make your sandwich work for local owners, not for Tims.<\/p>\n<p class=\"css-140ip4z e1me5xab0\">Tim Hortons has been criticized in recent years for a perception that it is too reliant on employees who come to Canada under the <a class=\"css-yywogo\" href=\"https:\/\/www.nytimes.com\/2024\/10\/12\/world\/canada\/canada-immigration-policy.html\" title=\"\" rel=\"nofollow noopener\" target=\"_blank\">temporary foreign workers program<\/a>. Tim Hortons notes in the court filing that one of the owners who have sued had 40 temporary workers from Madagascar in his eight restaurants. Late last month, the company said that 4,000 of the 110,000 workers in its outlets were employed on the temporary work permits.<\/p>\n<p class=\"css-140ip4z e1me5xab0\">Now, after acknowledging that it lobbied the government to bring in temporary workers, Tim Hortons has embarked on a public-relations campaign to \u201chelp Canadian restaurant owners hire 10,000 new local team members.\u201d The most visible sign of it to date has been television commercials that try to portray working for Tim Hortons as a rite of passage for young Canadians.<\/p>\n<p class=\"css-140ip4z e1me5xab0\">Given, however, that Tim Hortons has no say in whom its owners employ, I asked the company how it had come up with the figure of 10,000 local hires and how it would make sure that happens.<\/p>\n<p class=\"css-140ip4z e1me5xab0\">Duncan Fulton, the chief corporate officer of Tim Hortons\u2019 parent company, told me that the number came out of a request for a hiring promotion from an advisory council of franchise owners. Based on people logging into a corporate training system, Mr. Fulton estimated that about 6,500 people had joined the company in Canada since the ads began airing three weeks ago. He was unable, however, to tell me how that number compared with past hiring binges for the peak summer season.<\/p>\n<p class=\"css-140ip4z e1me5xab0\"><a class=\"css-yywogo\" href=\"https:\/\/www.nytimes.com\/by\/ian-austen\" title=\"\" rel=\"nofollow noopener\" target=\"_blank\">Ian Austen<\/a> reports on Canada for The Times. A Windsor, Ontario, native now based in Ottawa, he has reported on the country for two decades. He can be reached at <a class=\"css-yywogo\" href=\"https:\/\/www.nytimes.com\/2026\/06\/20\/world\/canada\/mailto:austen@nytimes.com\" title=\"\" rel=\"nofollow noopener\" target=\"_blank\">austen@nytimes.com<\/a>.<\/p>\n<p><a href=\"https:\/\/www.nytimes.com\/by\/tariq-panja\" class=\"css-uwwqev\" rel=\"nofollow noopener\" target=\"_blank\"><img decoding=\"async\" alt=\"Tariq Panja\" title=\"Tariq Panja\" src=\"https:\/\/www.europesays.com\/canada\/wp-content\/uploads\/2026\/06\/author-tariq-panja-thumbLarge-v3.png\" class=\"css-dc6zx6 e8lt1uc2\"\/><\/a><\/p>\n<p class=\"css-140ip4z e1me5xab0\">It was the postcard for how the World Cup, in one moment, can symbolize the coming together of nation and team unlike anything else.<\/p>\n<p class=\"css-140ip4z e1me5xab0\">It wasn\u2019t the six goals that Canada scored, nor the almost certainty that the emphatic victory over Qatar on a picture-perfect day in Vancouver would send Canada to the knockout stage.<\/p>\n<p class=\"css-140ip4z e1me5xab0\">It was the moments after the heartbreaking injury to the midfielder Isma\u00ebl Kon\u00e9 that best conveyed Canada\u2019s tournament so far. With his leg broken, Kon\u00e9 still managed to wave to supporters, a message to keep cheering on their team.<\/p>\n<p class=\"css-140ip4z e1me5xab0\">Nathan Saliba, who replaced Kon\u00e9 in the lineup, reacted accordingly when he scored the fourth goal of the afternoon. He grabbed his injured teammate\u2019s jersey and held it aloft as the crowd at B.C. Place cheered his goal.<\/p>\n<p class=\"css-140ip4z e1me5xab0\">\u201cIn a moment like this, I don\u2019t think they need me so much \u2014 they have each other,\u201d the team\u2019s American coach, Jesse Marsch, who was in tears after Kon\u00e9\u2019s injury, said after the game. \u201cTheir families are here and we have a family barbecue tomorrow and we will enjoy that and he will be on our minds.\u201d<\/p>\n<p class=\"css-140ip4z e1me5xab0\">Tougher challenges may lie ahead \u2014 next up is Switzerland \u2014 but what was clear on Thursday is that Canada, nation and team, is showing the kind of spirit that could deliver further moments of ecstasy, even if agonies are also part of the journey.<\/p>\n<p class=\"css-140ip4z e1me5xab0\"><a class=\"css-yywogo\" href=\"https:\/\/www.nytimes.com\/by\/tariq-panja\" title=\"\" rel=\"nofollow noopener\" target=\"_blank\">Tariq Panja<\/a> is a global sports correspondent for The Times who is covering his fifth World Cup.<\/p>\n<p>In Canadian Culture<\/p>\n<p class=\"css-140ip4z e1me5xab0\">No longer content with being \u201cHollywood North,\u201d the Canadian screen industry is asserting itself and telling its own stories more than ever. <a class=\"css-yywogo\" href=\"https:\/\/www.nytimes.com\/by\/matina-stevis-gridneff\" title=\"\" rel=\"nofollow noopener\" target=\"_blank\">Matina Stevis-Gridneff<\/a>, The Times\u2019s Canada bureau chief, and the photographer Cole Burston went backstage at the Canadian Screen Awards a few weeks ago. They found actors, directors, producers, writers and more \u2014 both young and veteran \u2014 who are deeply invested in defining Canadian-ness on the big and small screens. If you missed it, here\u2019s a gift link: <a class=\"css-yywogo\" href=\"https:\/\/www.nytimes.com\/2026\/06\/13\/world\/canada\/canadian-screen-awards-heated-rivalry-toronto.html?unlocked_article_code=1.p1A.Nm7e.E9jFBeOWu5a_\" title=\"\" rel=\"nofollow noopener\" target=\"_blank\">Canada\u2019s Showbiz Steps Out of Hollywood\u2019s Shadow<\/a>.<\/p>\n<p class=\"css-140ip4z e1me5xab0\">Also, Seth Rogen, the Canadian actor, writer, director and producer, sat down with Lulu Garcia-Navarro, The Times\u2019s writer and co-host of \u201cThe Interview,\u201d <a class=\"css-yywogo\" href=\"https:\/\/www.nytimes.com\/2026\/06\/13\/magazine\/seth-rogen-interview.html\" title=\"\" rel=\"nofollow noopener\" target=\"_blank\">to talk about his early start in comedy and the prolific Hollywood career<\/a> that has followed.<\/p>\n<p>Share Your \u2018Hockey Night in Canada\u2019 Memories<\/p>\n<p class=\"css-140ip4z e1me5xab0\">On Tuesday, the CBC and Rogers Sportsnet announced that the national broadcaster <a class=\"css-yywogo\" href=\"https:\/\/www.nytimes.com\/2026\/06\/16\/world\/canada\/hockey-night-in-canada-cbc-rogers.html\" title=\"\" rel=\"nofollow noopener\" target=\"_blank\">would no longer air \u201cHockey Night in Canada\u201d on Saturday nights<\/a> after the companies could not agree on a sub-licensing deal, Vjosa Isai reported.<\/p>\n<p class=\"css-140ip4z e1me5xab0\">We\u2019d love to hear your feelings about this decision and your memories of watching \u201cHockey Night in Canada\u201d on Saturday nights on the CBC at <a class=\"css-yywogo\" href=\"https:\/\/www.nytimes.com\/2026\/06\/20\/world\/canada\/mailto:nytcanada@nytimes.com?%20subject=Canada%20Letter%20Newsletter%20Feedback\" title=\"\" rel=\"nofollow noopener\" target=\"_blank\">nytcanada@nytimes.com<\/a>. We may reprint a selection of the best in next week\u2019s Canada Letter.<\/p>\n<p class=\"css-f3337s erlrjdy0\">We won\u2019t publish any part of your response without following up with you first, verifying your information and hearing back from you. And we won\u2019t share your contact information outside the Times newsroom or use it for any reason other than to get in touch with you.<\/p>\n<p>Trans Canada<\/p>\n<p class=\"css-140ip4z e1me5xab0\">How are we doing?<br \/>We\u2019re eager to have your thoughts about this newsletter and events in Canada in general. Please send them to <a class=\"css-yywogo\" href=\"https:\/\/www.nytimes.com\/2026\/06\/20\/world\/canada\/mailto:nytcanada@nytimes.com?%20subject=Canada%20Letter%20Newsletter%20Feedback\" title=\"\" rel=\"nofollow noopener\" target=\"_blank\">nytcanada@nytimes.com<\/a>.<\/p>\n<p class=\"css-140ip4z e1me5xab0\">Like this email?<br \/>Forward it to your friends, and let them know they can sign up <a class=\"css-yywogo\" href=\"https:\/\/www.nytimes.com\/newsletters\/canada-letter?smid=nytemail&amp;smvar=canadaletter&amp;te=1&amp;nl=canada-today&amp;emc=edit_cnda_20190622\" title=\"\" rel=\"nofollow noopener\" target=\"_blank\">here<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"Tim Hortons\u2019 iconic status in Canada means that owning one of its franchises has become seen as the&hellip;\n","protected":false},"author":2,"featured_media":96614,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[17,33375,14051,35698,35695,26642,33371,6798,422,35696,35697,34491,4482,35694,35699,25097,30921],"class_list":["post-96613","post","type-post","status-publish","format-standard","has-post-thumbnail","category-canada","tag-canada","tag-canadian-broadcasting-corp","tag-coffee","tag-doughnuts","tag-fast-food-industry","tag-franchises","tag-hudson-2001","tag-quebec-province-canada","tag-restaurants","tag-rogen","tag-seth","tag-sportsnet-rogers-media-inc","tag-tim-hortons","tag-tim-hortons-inc","tag-vancouver-wash","tag-williams","tag-world-cup-2026-soccer"],"_links":{"self":[{"href":"https:\/\/www.europesays.com\/canada\/wp-json\/wp\/v2\/posts\/96613","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/canada\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/canada\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/canada\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/canada\/wp-json\/wp\/v2\/comments?post=96613"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/canada\/wp-json\/wp\/v2\/posts\/96613\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/canada\/wp-json\/wp\/v2\/media\/96614"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/canada\/wp-json\/wp\/v2\/media?parent=96613"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/canada\/wp-json\/wp\/v2\/categories?post=96613"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/canada\/wp-json\/wp\/v2\/tags?post=96613"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}