Over 300 Franchisees File Class Action Against Woowa Brothers Over “Unfair” Delivery Fees

Reporter Paul Lee / approved : 2026-01-15 04:28:43
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Photo: Woowa Brothers

 

 

[Alpha Biz= Paul Lee] More than 300 franchise owners nationwide have filed a class-action lawsuit against Woowa Brothers, the operator of the Delivery Hero Korea app “Baedal Minjok,” alleging unfair collection of service fees.

According to industry sources on January 14, 366 franchisees from brands including BBQ and Baskin-Robbins filed a claim at the Seoul Eastern District Court on January 12, seeking KRW 366 million in total—approximately KRW 1 million per plaintiff.

The complaint states that franchisees must pay roughly 10% of the order amount processed through the Baedal Minjok app as intermediary and payment settlement fees. The controversy arises because, even when franchisees offer customer discount coupons, the fees are calculated based on the pre-discount amount. Franchisees argue that this automated fee calculation without deducting coupon amounts is unfair. Under current terms, the discount should reduce the payable amount, and consequently, the commission owed to Baedal Minjok should also decrease.

In May 2025, Baedal Minjok revised its terms to allow deduction of discounts borne by franchisees when calculating fees. However, the amendment includes a condition: deductions are only recognized if the franchise submits documentation via the franchisor proving that the cost of coupons or other discounts was directly borne by them.

 

 

Alphabiz Reporter Paul Lee(hoondork1977@alphabiz.co.kr)

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