Are all fees uniformly imposed by and payable to 1-800-GOT-JUNK?
1_800_Got_Junk Franchise · 2025 FDDAnswer from 2025 FDD Document
Unless otherwise stated, all fees are uniformly imposed by and payable to 1-800-GOT-JUNK? and are non-refundable.
Source: Item 6 — Other Fees (FDD pages 11–17)
What This Means (2025 FDD)
According to 1-800-GOT-JUNK?'s 2025 Franchise Disclosure Document, most fees are uniformly imposed and payable to 1-800-GOT-JUNK?. However, there are exceptions and potential changes to this standard. The document states, "Unless otherwise stated, all fees are uniformly imposed by and payable to 1-800-GOT-JUNK? and are non-refundable." This indicates a general rule, but the phrase "unless otherwise stated" suggests that some fees may have different arrangements.
Specifically, the FDD mentions that franchisees awarded franchises in prior years, those who prototyped new formats, and franchisees in which 1-800-GOT-JUNK? or its affiliates have an ownership interest may pay different continuing fees than new franchisees. 1-800-GOT-JUNK? also retains the discretion to reduce fees in individual cases. Furthermore, 1-800-GOT-JUNK? reserves the right to change the type and amount of fees it requires future franchisees to pay.
Additionally, the Branding Cooperative fee, which can be up to 5% of gross revenue, is only imposed if 1-800-GOT-JUNK? authorizes franchisees in a particular area to establish a branding cooperative and if 65% of the involved franchisees consent to paying the fees. This fee is paid as directed by the Franchisor. Also, the Optional Local Marketing Services and Assistance fee is to be agreed upon by the franchisee and 1-800-GOT-JUNK?, indicating it is not uniformly imposed. These exceptions highlight that while many fees are standardized, some can vary based on specific circumstances, agreements, or the franchisee's status.