Papa John’s Founder Sues Company for Documents Over Ouster
- John Schnatter wants internal files tied to his departure
- Reported use of slur prompted board to terminate founder
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Papa John’s International Inc. founder John Schnatter sued the pizza chain demanding internal files related to directors’ handling of his ouster for allegedly using a racial slur during a media-training session.
A special committee of independent directors ordered the termination of a so-called founder’s agreement that designated Schnatter as the brand’s face and voice, and requested he cease media appearances on behalf of the firm. Board members also ordered his eviction from the company’s headquarters and have refused to turn over information about its decision-making process, according to the Delaware Chancery Court lawsuit.