Papa John’s Paying $5 Million to End Lawsuit Over No-Poach Pact

Papa John’s International Inc. will pay $5 million to resolve antitrust litigation over “no poach” agreements—since abandoned—that prohibited its franchise owners from recruiting workers at other affiliated pizza shops, according to federal court filings in Louisville, Ky.

Former employees leading the lawsuit sought approval for the deal from Judge Benjamin Beaton, who’s presiding over the proposed class action in the US District Court for the Western District of Kentucky. The settlement covers workers who earned at least $200 at Papa John’s between December 2014 and December 2021.

In addition to the cash component, the agreement includes a pledge by Papa ...