factual

What is the nature of All County's relationship with an alternative supplier that a franchisee proposes and All County approves?

All_County Franchise · 2025 FDD

Answer from 2025 FDD Document

We may prescribe procedures for the submission of requests for approval and impose obligations on approved suppliers, which will be incorporated in a written license agreement with the supplier. We may obtain from you and/or the approved supplier's reimbursement of our reasonable costs and expenses incurred in the approval process and on-going monitoring of the supplier's compliance with our requirements. We do not act as an agent, representative or in any other intermediary or fiduciary capacity for you in our relationship with an alternative supplier you propose and we approve. We may impose limits on the number of approved suppliers. We have the right to monitor the quality of goods or services provided by approved suppliers in a manner we deem appropriate and may terminate any supplier who does not meet our quality standards and specifications, as may be periodically in effect. We may disapprove any supplier whom we previously approved, and you may not, after receipt of notice of disapproval, reorder from any supplier we have disapproved.

Source: Item 8 — Restrictions on Sources of Products and Services (FDD pages 16–19)

What This Means (2025 FDD)

According to All County's 2025 Franchise Disclosure Document, All County does not act as an agent, representative, or in any fiduciary capacity for the franchisee in its relationship with an alternative supplier that the franchisee proposes and All County approves. All County may obtain reimbursement from the franchisee or the approved supplier for reasonable costs and expenses incurred during the approval process and ongoing monitoring of the supplier's compliance. All County may also impose limits on the number of approved suppliers.

All County retains the right to monitor the quality of goods or services provided by approved suppliers and may terminate any supplier who does not meet their quality standards and specifications. All County can also disapprove a previously approved supplier, and franchisees are prohibited from reordering from any disapproved supplier after receiving notice.

These stipulations mean that while franchisees can propose alternative suppliers, All County maintains control over the approval and monitoring process to ensure quality and compliance with their standards. The franchisee bears the cost of this process and must adhere to All County's decisions regarding supplier approval and termination. This arrangement protects All County's brand standards but also places the onus on the franchisee to propose viable suppliers and manage relationships within the framework set by All County.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.