Managers from head office in Sydney told the franchisees the price cut would lift overall sales and benefit everybody.

LYN BAYAKLY: I remember sitting in a meeting in October of last year with a bunch of people from head office that came over here to WA and I was looking around the room and I'm looking at them thinking, "You guys have all got degrees in something and you've all failed Year Four maths."

PAT MCGRATH: Sales did go up, but Lyn Bayakly was selling pizzas below cost.

LYN BAYAKLY: So when there's no profit margin, when you're actually losing on every transaction, the higher your transaction count, the more money you lose and the quicker you lose it.

PAT MCGRATH: Now Lyn Bayakly has joined dozens of franchisees in a class action against Yum! Brands. They claim the company acted unconscionably and breached its duty to ensure franchisees as well as the parent company can make a profit.