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TopicPapa John is suing Papa John's
Rob Cesternino
07/18/18 10:43:30 PM
#1:


https://money.cnn.com/2018/07/18/news/companies/papa-johns-letter/index.html

Papa John's founder John Schnatter said it was a "mistake" for him to resign.
In letter to the pizza chain's board obtained by CNNMoney, Schnatter accused the board of not "doing any investigation" and said its decision to remove him as chairman was based on "rumor and innuendo."

Last week, the Papa John's founder resigned after he admitted to using the N-word on a conference call with marketing agency Laundry Service.

In his letter, he said Laundry Service wanted to hire rapper Kanye West to represent Papa John's in advertising materials, but Schnatter wasn't on board with the idea because West uses the N-word in his lyrics.

Schnatter claimed the agency asked if he was racist, and he used the N-word in describing how KFC's Colonel Sanders used to talk. Schnatter said he wouldn't ever use that word -- although he just had.

He also alleged that Laundry Service tried to extort Papa John's by threatening to go public with Schnatter's comments. Laundry Service didn't immediately return CNNMoney's request for comment.

Schnatter has hired Patricia Glaser, an attorney to represent him to the board. She sent a separate letter saying any attempt to remove Schnatter from the board without a "proper vote of the shareholders will be null and void." He still owns roughly 30% of the company's shares.

Papa John's (PZZA)has been distancing itself from the cofounder since the scandal erupted last week. He was kicked out of his office and the brand has scrapped Schnatter's image from its pizza boxes and pulled ads that featured him.

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