Longtime Subway sandwich shop pitchman Jared Fogle agreed to plead guilty to child-pornography charges, among others. Subway had previously suspended its relationship with Fogle. The case, along with the attendant bad publicity for the already-troubled Subway, is a sad reminder of the value of including an appropriate “termination for business-reputation risk” clause in a contract of this nature, such as the Common Draft clause on that subject. I’ll be updating the commentary to that clause accordingly.
Subway’s relationship with disgraced Jared Fogle highlights need for the right termination clause
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