John Schnatter, the founder of Papa John's pizza chain, stepped down as CEO on January 1, 2018, after controversy arose from his comments blaming the NFL's national anthem protests for hurting Papa John's sales
. He remained chairman of the board until July 2018, when he resigned after it was revealed he used a racial slur during a May 2018 internal conference call. In that call, Schnatter used the N-word while discussing racism and referenced Colonel Sanders, which many found offensive
. Following the incident, Schnatter apologized but faced significant backlash, leading to his resignation as chairman. Papa John's severed ties with him, and the company distanced itself from his public presence
. Schnatter subsequently filed lawsuits against Papa John's over access to company records and disputes about his ouster, which were settled in 2019 with agreements on record access and restrictions on his board involvement
. Since then, Schnatter has sold a significant portion of his shares but has remained involved in legal and business matters related to the company. Despite the controversies, he has expressed interest in returning to the pizza business
. Meanwhile, Papa John's has continued operating under new leadership, focusing on refocusing the brand and distancing itself from the controversies tied to Schnatter
. In summary, John Schnatter's departure from Papa John's leadership was triggered by racially insensitive remarks, leading to his resignation and legal battles with the company, marking a significant shift in the brand's leadership and public image