Investigation Overview
January 23, 2015 (Shareholders Foundation) - An investigation on behalf of current long-term investors in shares of Dominos Pizza, Inc. (NYSE:DPZ) shares was announced over potential breaches of fiduciary duties by certain officers and directors at Dominos Pizza, Inc. The investigation by a law firm concerns whether certain Dominos officers and directors breached their fiduciary duties and caused damage to the company and its shareholders.
A former franchisee has reportedly filed two complaints through the Securities and Exchange Commission against Domino's Pizza, Inc. and certain of its executives. The former franchisee reportedly alleges in one complaint that Dominos Pizza mislead investors in its SEC annual filing. More specifically, the former franchisee reportedly claims in one of his complaints that Dominos Pizza Inc falsely specified franchisees were not required to purchase food and supplies from the franchisor, nor was it agreed by a 100 percent unanimous vote by franchisees to increase Domino's advertising fund. The former franchisee reportedly claims that all executives named in the whistleblower complaints have knowledge of the alleged ongoing conduct.
Domino's Pizza, Inc. reported that its Total Revenue rose from over $1.57 billion for the 52 weeks period that ended on January 2, 2011 to over $1.8 billion for the 52 weeks period that ended on December 29, 2013 and that its respective Net Income increased from $87.92 million to $142.99 million. Shares of Domino's Pizza, Inc. (NYSE:DPZ) grew from under $12 per share in early 2011 to as high as $103.92 per share on January 13, 2014.