Papa Johns 2000 Annual Report Download - page 17

Download and view the complete annual report

Please find page 17 of the 2000 Papa Johns annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 81

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81

12
required licenses or approvals can delay or prevent the opening of a new restaurant in a particular area.
Our full-service QC Centers and distribution facilities are licensed and subject to regulation by state and
local health and fire codes, and the operation of our trucks is subject to Department of Transportation
regulations. We are also subject to federal and state environmental regulations.
We are subject to Federal Trade Commission (“FTC”) regulation and various state laws regulating the
offer and sale of franchises. Several state laws also regulate substantive aspects of the franchisor-
franchisee relationship. The FTC requires us to furnish to prospective franchisees a franchise offering
circular containing prescribed information. A number of states in which we might consider franchising
also regulate the sale of franchises and require registration of the franchise offering circular with state
authorities. Substantive state laws that regulate the franchisor-franchisee relationship presently exist in a
substantial number of states, and bills have been introduced in Congress from time to time which would
provide for federal regulation of the franchisor-franchisee relationship in certain respects. The state laws
often limit, among other things, the duration and scope of non-competition provisions and the ability of a
franchisor to terminate or refuse to renew a franchise. Some foreign countries also have disclosure
requirements and other laws regulating franchising and the franchisor-franchisee relationship. As we
expand internationally, we will be subject to applicable laws in each jurisdiction where franchised units are
established.
We are also subject to the Americans With Disabilities Act of 1990, which, among other things, may
require renovations to restaurants to meet federally-mandated requirements. The cost of these renovations
is not expected to be material. Further government initiatives could adversely affect us and our
franchisees as well as the restaurant industry in general.
Trademarks
Our rights in principal trademarks and service marks are a significant part of our business. We are the
owner of the federal registration of the trademark “Papa John’ s.” We have also registered “Pizza Papa
John’ s and design” (our logo), “Better Ingredients. Better Pizza.” and “Pizza Papa John’ s Better
Ingredients. Better Pizza. and design” as trademarks and service marks. We also own federal
registrations for several ancillary marks, principally advertising slogans. We have also applied to register
our primary trademark, “Pizza Papa John’ s and design,” in 90 foreign countries and the European
Community. The “Perfect Pizza” trademark is also registered in the United Kingdom. We are aware of
the use by other persons in certain geographical areas of names and marks which are the same as or
similar to our marks. It is our policy to pursue registration of our marks whenever possible and to oppose
vigorously any infringement of our marks. See "Item 3. Legal Proceedings" and "Note 14" of "Notes to
Consolidated Financial Statements" for additional information.
Employees
As of December 31, 2000, we employed 17,922 persons, of whom approximately 15,582 were restaurant
team members, 770 were restaurant management and supervisory personnel, 681 were corporate
personnel and 889 were PJ Food Service and support services personnel. Most restaurant team members
work part-time and are paid on an hourly basis. None of our team members is covered by a collective
bargaining agreement. We consider our team member relations to be excellent.
Forward Looking Statements