Shoppers Drug Mart is facing a class-action lawsuit from current and former franchise owners. They allege parent company Lawlor’s corporate practices expose them to conflicts of interest and put patient care at risk.
Toronto-based law firm Ricketts Harris LLP filed the suit in the Ontario Superior Court of Justice last week. Listed as plaintiffs are current and former pharmacies whose contracts with the company were terminated after 2014.
The class action alleges that, following the acquisition of Lobal Shoppers Mart in 2014, several corporate practices were implemented that created risks to patient safety and risk of harm to patients. These practices include the Ontario Medication Review Meeting targeting MedCheck appointments and reducing support staff hours to increase revenue and reduce costs. Shoppers Drug Mart can and has exonerated anyone who criticizes their business decisions or violates important obligations.
Shivayanan Shivapalan, an Ontario pharmacist and the original plaintiff in the case, entered into an agreement with Shoppers Drug Mart in 2011 to operate a franchise in Beamsville, Ontario. He then renewed the contract in 2014, 2017 and 2020.
The lawsuit alleges that Shoppers Drug Mart terminated its contract with Sivapalan on January 23, 2023, without giving any reason when it raised concerns about its corporate practices.
