How do the restrictions on suppliers for Amorino (Item 8) relate to the franchisee's obligations regarding the purchase of proprietary products (Item 6)?
Amorino Franchise · 2025 FDDAnswer from 2025 FDD Document
You must purchase all furniture, equipment, casework, and restaurant supplies from our approved third-party vendor, and/or our affiliates Amorino Trading or -18°. If we so require, you must maintain a maintenance agreement with the applicable manufacturers for the term of the franchise.
We may from time to time inspect and evaluate the facilities and products of any approved supplier and revoke its general approval of particular products or suppliers when we determine, in our sole discretion, that such products or suppliers no longer meet our standards. We will provide the Store with written notice of such revocation, at which time (or at the time set forth in the notice) the Store must stop selling any disapproved products and stop purchasing any products from any disapproved supplier.
Each Store must purchase and maintain an inventory of Proprietary Products as needed to meet reasonably anticipated consumer demand. A Store must purchase our gelato and sorbet from us, from our affiliate Amorino Trading, from our affiliate -18°, or from a producer, manufacturer, distributor or supplier designated or approved by us. You must purchase all products which bear any of our trademarks solely and exclusively from us or our affiliate -18° or from a producer, manufacturer, distributor or supplier we designate or approve. Amorino Trading and -18 are suppliers in which our officers owns an interest.
We may specify (i) certain beverages, food products and other ingredients, which are produced or manufactured according to our trade secrets, proprietary recipes, specifications and/or formulas, (ii) products which bear our trademarks, and (iii) certain packaging, POS Systems, computer hardware, software, modems and peripheral equipment or other products, supplies, services and equipment. You may buy these items only from us or from our designated suppliers (which may, in the future, include -18° or any of our affiliates). If the Store purchase any items from us or one of our affiliates, we or they may derive profits from these purchases.
What This Means (2025 FDD)
According to Amorino's 2025 Franchise Disclosure Document, Item 8 outlines restrictions on approved suppliers, which directly impacts a franchisee's obligation to purchase proprietary products. Amorino franchisees are required to purchase furniture, equipment, casework, and restaurant supplies from Amorino's approved third-party vendor and/or its affiliates, Amorino Trading or -18°. Franchisees must also maintain an inventory of Proprietary Products to meet consumer demand and must purchase gelato and sorbet from Amorino, its affiliates, or approved suppliers.
These restrictions extend to products bearing Amorino's trademarks, which must be purchased exclusively from Amorino, its affiliate -18°, or designated suppliers. Amorino may specify certain beverages, food products, ingredients produced with their trade secrets, and packaging that franchisees can only buy from Amorino or its designated suppliers. If franchisees purchase items from Amorino or its affiliates, Amorino or its affiliates may profit from these purchases.
Amorino retains the right to inspect and re-evaluate suppliers, and can revoke approval if standards are not met, providing written notice to franchisees who must then cease purchasing from the disapproved supplier. This system ensures quality control and consistency but limits the franchisee's choice of suppliers, potentially affecting costs and operational flexibility. In general, franchisors commonly designate specific suppliers to maintain brand consistency and quality, but franchisees should carefully consider the potential impact on their bottom line and operational autonomy.