Bricks & Minifigs Franchise Dispute Highlights Compliance Risks

Bricks & Minifigs says it is working to resolve a dispute involving a customer's LEGO collection at a former franchise location in Salem, Oregon, while strengthening franchise operations, according to a statement issued by the company outlining the findings of its internal investigation.

The dispute centers on a collection owned by the Mansell family and an alleged consignment arrangement involving the former Salem store owner. Bricks & Minifigs said its business model is based on buying, selling and trading LEGO products and that franchisees are not authorized to enter third-party consignment agreements involving LEGO inventory.

According to the company, records reviewed so far put the collection’s highest realistic retail value at about $95,000 to $100,000. Point-of-sale data also indicates about $61,000, and possibly more, may have been sold before November 2024. Bricks & Minifigs said it is still looking into the difference between what was sold and what was paid to the customer.

The Salem location has since closed. Bricks & Minifigs said the incident involved a single former franchisee and does not reflect the practices of its broader network of more than 300 independently owned franchise locations.

The case highlights a challenge that can affect any franchise system. When disputes involve transactions a franchisor says were outside its approved policies, the resulting controversy can create reputational concerns for the broader brand, even if the franchisor says it was not involved in the transaction.

In response, Bricks & Minifigs said it is implementing additional safeguards throughout its system, including real-time digital inventory tracking, standardized corporate-approved disclosure forms for transactions and expanded training focused on professional conduct and dispute resolution.

The company also said stores and employees across its franchise network have experienced harassment, threats and other disruptions as the dispute gained attention online.

For franchisors, the situation serves as a reminder of the importance of clear operating standards, documentation and oversight, particularly when franchisees handle high-value customer property. As resale concepts and other specialty retail franchises continue to grow, maintaining consistent operational controls across independently owned locations remains an important part of protecting both franchisees and the broader brand.