Can All County inspect and audit my business records?
All_County Franchise · 2025 FDDAnswer from 2025 FDD Document
19. INSPECTIONS AND AUDITS.
- 19.1. Right to Audit. Our designated agents and we have the right to, at any time during your regular business hours and without prior notice to you, to inspect and/or audit, or cause to be inspected and/or audited, all records relating to the Business and operation practices of the Business in order to verify that you are complying with this Agreement, Collateral Agreements, the Methods of Operation and that you are maintaining the uniformity and quality of the services associated with the Marks. We have the right to observe, photograph and videotape the operations of the Business for such consecutive or intermittent periods, as we deem necessary. We have the right to interview personnel and customers of the Business. We have the right to inspect and copy any books, records and documents relating to your operation of the Business. You agree to cooperate with any such inspection.
- 19.2. Audit Expense. In the event such inspection and/or audit is made necessary by your failure to furnish reports, supporting records or other information as herein required, or to furnish such items on a timely basis, you agree to reimburse us for the reasonable cost of such inspection or audit, including, without limitation, the charges of attorneys and independent accountants and the travel expenses, room and board and compensation of our employees.
- 19.3. Cure. In the event an inspection or audit reveals that any payments have been understated in any report to us, then you must immediately pay to us the amount understated upon demand, in addition to interest from the date such amount was due until paid, at the highest contract rate of interest permitted by law. If an inspection or audit discloses an understatement in any report of two percent (2%) or more, you shall, in addition to repayment of monies owed with interest, reimburse us for any and all costs and expenses connected with the inspection or audit, including, without limitation, the charges of attorneys and independent accountants and the travel expenses, room and board and compensation of our employees. The foregoing remedies are in addition to our other remedies and rights under this Agreement and applicable law.
20. TRANSFER AND ASSIGNMENT.
Source: Item 23 — Receipts (FDD pages 43–157)
What This Means (2025 FDD)
According to All County's 2025 Franchise Disclosure Document, All County has the right to inspect and audit a franchisee's business records. All County, or its designated agents, can inspect and/or audit all records relating to the business and its operation practices at any time during regular business hours and without prior notice. This is to verify compliance with the Franchise Agreement, Collateral Agreements, and Methods of Operation, and to ensure the uniformity and quality of services associated with All County's Marks. All County can observe, photograph, and videotape the business operations, interview personnel and customers, and inspect and copy any books, records, and documents related to the business. Franchisees must cooperate with these inspections.
If an inspection or audit is required because a franchisee failed to furnish reports, records, or other information on time, the franchisee must reimburse All County for the reasonable costs of the inspection or audit. These costs may include charges from attorneys and independent accountants, as well as travel expenses, room and board, and compensation for All County employees.
Furthermore, if an inspection or audit reveals that payments have been understated in any report, the franchisee must immediately pay the understated amount, along with interest. If the understatement is two percent (2%) or more, the franchisee must also reimburse All County for all costs and expenses connected with the inspection or audit, including attorney and accountant fees, travel expenses, and compensation for All County employees. These remedies are in addition to any other rights All County has under the Franchise Agreement and applicable law. All County also has the right to access the franchisee's computer systems, data, and software to retrieve information relating to the business's operations and can monitor or record telephone conversations for quality assurance purposes.