Day 139 - 21 Jun 95 - Page 03
2 Q. Do you have a consulting responsibility with all countries?
3 A. I have a general overall consulting responsibility.
4 Some of those countries, I have not been to, personally,
5 but I have an overall responsibility.
7 Q. Right; and that responsibility is providing them with
8 advice and things like that?
9 A. Yes.
11 Q. What else does it cover?
12 A. That is what it covers.
14 Q. Just giving them advice on the Company's policies; is that
16 A. That is correct.
18 Q. Would it be taking some kind of action if they strayed
19 beyond the bounds of what the Company considered
21 A. I do not have the authority to take action against
22 someone, no.
24 Q. Who would have that authority?
25 A. It depends upon the licensing agreement. If you are
26 talking about our president -- I am not sure exactly what
27 you are talking about.
29 Q. Well, if ----
31 MR. JUSTICE BELL: Give an example of something you have in
34 MS. STEEL: If a branch in a particular country was not adhering
35 to your set standards, who would take that decision?
36 A. I would -- obviously, I would speak with the
37 individual, I would counsel with them, advise them what
38 I thought was appropriate. I think I have mentioned
39 earlier that they are the managing directors of their
40 countries and they have a right to make the decision as
41 relates to their country.
43 Q. But if they were not adhering to your policies, you can --
44 not you, personally, but the Company -- cut them off and
45 say: "Hey, we do not want you running this any more"?
46 A. No, I do not agree with that. I think one of the
47 things that I mentioned yesterday was that the reasons for,
48 say, in the joint venture area, for having these folks was
49 that they should manage their country. We should provide
50 them with our advice and counsel, but their laws are
51 different, their culture is different; and the purpose of
52 them being there is to make decisions.
54 Q. In the franchise agreements that you have, you set down
55 certain conditions, do you not, that they are to follow
56 your instruction manual, and things like that?
57 A. They are obligated to produce certain standards of
58 quality, service and cleanliness. They are not required to
59 follow precise manuals, or things such as that.