<p style= text-align: justify; >A shareholder has filed a shareholder derivative lawsuit in Ohio state court against Work-uniform manufacturer Cintas Corp.(NASDA: QCTAS)’s officers and directors. The lawsuit accuses 11 current and former officers and directors at the company, including CEO Scott D. Farmer of consciously directing the company not to comply with worker safety and other employment laws and thus failed to fulfill oversight obligations owed to shareholders.</p> <p style= text-align: justify; > </p>
<p style= text-align: justify; >The lawsuit cites a recent settlement by which Cintas Corp.(NASDA: QCTAS) agreed to pay $9.5 million to an Alabama bankruptcy trustee of Terry Manufacturing Co. According to the shareholder derivative lawsuit, Cintas Corp. formed the joint venture with minority-owned Terry Manufacturing Co. to gain uniform contracts with McDonald’s restaurants and the bankruptcy trustee later alleged that Cintas Corp. conspired with management to get money from Terry Manufacturing Co., which eventually drove it into bankruptcy. Pam Lowe spokeswoman at Cintas Corp said, Cintas did nothing wrong but decided to settle the Terry litigation rather than incur the costs of a trial.</p>