TAIPEI (Taiwan News) – Japanese convenience store franchise FamilyMart is reportedly suing to sever cooperation ties with the scandal-embroiled Taiwanese conglomerate Ting Hsin International (頂新) with regard to the Chinese FamilyMart partnership.
According to a Liberty Times report, FamilyMart has filed a lawsuit at a court in the Cayman Islands demanding the Taiwanese company relinquish its 60 percent stake in the joint Chinese venture, which is registered in the British Overseas Territory in the Caribbean Sea.
FamilyMart accused Ting Hsin of failing to arrange a fair share for profits it earned from its business in China. Ting Hsin is obliged to share gains from the operation of over 2,500 FamilyMart outlets in China and pay royalties to the Japanese convenience store chain, said the report.
In December 2018, Ting Hsin International (頂新) tycoon Wei Ying-chun (魏應充) was released on parole after serving more than 500 days of a two-year imprisonment sentence for his role in an adulterated cooking oil scandal.