Under what payment conditions can Afuri Ramen Dumpling refuse or delay a shipment?
Afuri_Ramen_Dumpling Franchise · 2024 FDDAnswer from 2024 FDD Document
We may refuse to ship or delay the shipment of any products on order if you become delinquent in payment of your obligations, exceed established credit lines, fail to meet our other credit or financial requirements or fail to provide financial information when we request.
No cancellation, refusal or delay will terminate this Agreement.
Source: Item 23 — Receipts (FDD pages 50–189)
What This Means (2024 FDD)
According to Afuri Ramen Dumpling's 2024 Franchise Disclosure Document, Afuri Ramen Dumpling has the right to refuse or delay shipments of any products if the franchisee becomes delinquent in their payment obligations. This also applies if the franchisee exceeds established credit lines, fails to meet Afuri Ramen Dumpling's other credit or financial requirements, or does not provide requested financial information.
This policy protects Afuri Ramen Dumpling from financial risk associated with franchisees who may not be able to meet their financial obligations. It ensures that franchisees maintain good financial standing with the company, which is a common practice in franchising to maintain stability and prevent losses.
It is important to note that even if Afuri Ramen Dumpling refuses or delays a shipment due to these reasons, the franchise agreement remains in effect. The franchisee is still bound by the terms of the agreement, and no cancellation, refusal, or delay will terminate the agreement.