HENRY COUNTY— An Anderson transportation company has filed a lawsuit alleging they’re owed hundreds of thousands of dollars for delivering donuts.
Carter Logistics filed a lawsuit in Henry County on April 11 against Jack’s Donuts of Indiana Commissary.
In October 2023, Jack’s Donuts opened the commissary— a production and distribution center in New Castle.
Carter Logistics provided transportation services between May 2024 and January 2025, according to the lawsuit.
Carter Logistics alleges Jack’s Donuts of Indiana Commissary agreed to pay for the services but has yet to pay $769,625 in invoices.
“Despite repeated demands for payment, Defendant has failed and refused to pay the Plaintiff the sum due,” read the complaint.
The lawsuit accuses Jack’s Donuts of Indiana Commissary of breach of contract.
Franchise owners tell WRTV that Carter Logistics delivered donuts from the commissary in New Castle to locations throughout Central Indiana.
As WRTV Investigates reported in March, some Jack’s Donuts franchise owners are concerned about the company’s financial future as legal troubles mount for Jack’s Donuts CEO, Lee Marcum.
WRTV Investigates contacted Marcum and his attorney for comment on the Carter Logistics lawsuit, and we are still waiting to hear back.
WRTV Investigates found multiple lawsuits have been filed against Marcum and businesses connected to him, including Jack’s Donuts and Jacks Donuts of Indiana Commissary LLC.
On April 21, EBF Holdings LLC in New York (doing business as Everest Business Funding) filed a breach of contract lawsuit against Jacks Donuts of Indiana Commissary LLC and Lee Marcum.
The investment firm alleges the commissary and Marcum defaulted on their agreement and owe a balance of $93,512.
When EBF Holdings tried to withdraw their payment from the commissary's bank account on September 30, October, 1, October 2, and October 10, the account had insufficient funds, records show.
So far this year, courts in Indiana and New York have handed down $503,766 in judgments against Marcum and businesses connected to him, including Jack’s Donuts and Jacks Donuts of Indiana Commissary LLC.
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WRTV Investigates also found the following legal filings:
- Old National Bank filed a lawsuit on February 12 in Henry County accusing Marcum and Jack’s Donuts of Indiana Commissary of defaulting on business loans. The bank is asking for $3.4 million and is threatening to foreclose on the New Castle store and Marcum’s home. The case is still pending.
- Specialty Fitters, an Ohio company that installs mechanical piping services, filed a lawsuit for breach of contract on October 22, 2024, against Jacks Donuts of Indiana Commissary. Specialty Fitters alleges they performed work at the New Castle production facility but were not fully paid. On January 14, a Henry County judge handed down a $104,995.80 judgment against Jack’s Donuts of Indiana Commissary.
- Investment funding firms Novus Capital, Amerifi Capital, Spartan Business Solutions and Avanza Capital Holdings filed lawsuits in New York between November 2024 and January 2025 saying they’re owed money. Avanza Capital Holdings won a $292,768 judgment on January 24. Amerifi won a $61,888 judgment on February 18. Spartan Business Solutions won a $44,113.97 judgment February 10. Novus Capital’s lawsuit is still pending.
In March, Marcum provided a statement and answered questions via email.
“The root cause of the financial difficulties stems from a combination of factors, including mismanagement on my part, for which I take full responsibility,” read the statement. “Other factors include inflation, the increased cost of shipping, ingredients and gas, and the pursuit of innovative business opportunities, specifically at the commissary. However, the situation has been made worse due to the failure of certain franchisees to pay their outstanding bills, which has significantly impacted our financial stability.”
WRTV Investigates asked about the future of the commissary and asked if Jack’s Donuts is restructuring.
“We have appointed additional supervisors to enhance oversight and performance. The supervisors oversee accounts payable, facility management and production,” read the statement. “We are discussing inventive business opportunities that would increase the efficiency at the commissary and improve the way we serve our franchisees and our customers.”
Marcum said via a spokesperson that Jack’s Donuts is proud to have served the community for more than 60 years.
“Despite our recent financial difficulty, we are committed to providing fresh, quality donuts and ingredients to both our customers and franchisees,” said Marcum in an emailed response.
