Can All States M.E.D. revoke its approval of an item, service, or supplier?
All_States_M_E_D Franchise · 2024 FDDAnswer from 2024 FDD Document
es that Franchisor has not approved. Furthermore, Franchisee must offer for sale all services and products currently offered by Franchisor or which will be offered by the Franchisor in the future.
- 13.1.2 Notwithstanding anything contrary in this Agreement, Franchisor has the right to review from time to time its approval of any items or suppliers. Franchisor may revoke i
Source: Item 23 — RECEIPTS (FDD pages 44–174)
What This Means (2024 FDD)
According to All States M.E.D.'s 2024 Franchise Disclosure Document, All States M.E.D. has the authority to revoke its approval of any item, service, or supplier at any time. To do so, All States M.E.D. will notify the franchisee and/or the supplier of the revocation. Following notification, the franchisee must stop using, selling, or providing the disapproved items or services at their own expense.
This clause gives All States M.E.D. significant control over the products and services offered by its franchisees. It ensures that franchisees adhere to the standards and specifications set by All States M.E.D. and allows All States M.E.D. to respond to changing market conditions, quality issues, or supply chain disruptions by changing approved items or suppliers.
For a prospective All States M.E.D. franchisee, this means they must be prepared to adapt their business practices based on All States M.E.D.'s decisions regarding approved items and suppliers. While franchisees can propose new products or services for approval, with a review cost not exceeding $1,000 per product or service, All States M.E.D. ultimately decides what can be offered. Franchisees need to factor in the potential costs and disruptions associated with ceasing the use, sale, or provision of items or services that All States M.E.D. has disapproved.