2As discussed in more detail below, Defendants entered into two franchise agreements withQuiznos, but ended up operating only a single store, in Coopersburg, Pennsylvania. They operatedthe Coopersburg store for only eight months, at the end of which their franchise agreement waspurportedly terminated by Quiznos because Quiznos allegedly determined Defendants hadintentionally under-portioned the meat on a single sandwich.Quiznos brought this action claiming, among other things, that Defendants breached bothfranchise agreements, and Defendants counterclaimed for breach of the Coopersburg agreementand rescission of the unused agreement.B. The Oxford LocationDefendants were working and living in northern New Jersey when they decided, in late2003, to relocate outside of the New York City metropolitan area and open their own businesstogether. They testified that it was their dream to get out of the city and work together in somekind of family business. So they moved to Bethlehem, Pennsylvania (about 70 miles north of Philadelphia) and later to Allentown (10 minutes from Bethlehem) and began to research franchiseopportunities.Defendants attended a Quiznos franchising seminar in November 2004, and in December2004 they decided to buy a Quiznos franchise. On December 29, 2004, they entered into a“Quiznos Franchising LLC Franchise Agreement” (Exhibit 26), which I will refer to as the “8859Agreement,”
and paid Quiznos the required $25,000 franchise fee. At the time they entered intothe 8859 Agreement, Defendants had not yet identified a location for the store. (Under theFranchise Agreements, Quiznos franchisees are responsible for finding and leasing their own store
Quiznos Franchise Agreements are identified by a unique franchisee or store number, and 8859 was the numberassigned to this initial Agreement.