Under what conditions can Anago remove Collateral for repair or replacement?
Anago Franchise · 2025 FDDAnswer from 2025 FDD Document
You understand and agree that for the protection of the System and Proprietary Marks that quality control is necessary to ensure we and all our Franchisees not only continue growing but deliver the best quality of service. Therefore, You will permit Us and/or Our representatives to enter Your Premises or buildings where You are providing services at any time for purposes of conducting inspections. You will cooperate fully with Us and/or Our representatives in inspections by rendering assistance as we or they reasonably request and by permitting us or them, at our or their option, to observe how You are rendering the services, to confer with Clients and Your employees (provided, however, that if We notice any deficiencies in Your employees' performance, We will notify You of the deficiencies and You, in turn, will correct such deficiencies as described below). We may also remove samples of any products, supplies and materials in amounts reasonably necessary to return to Our office for inspection and record-keeping. The inspections may be conducted without notice at any time. The inspections will be performed in a manner that minimizes interference with the operation of the Anago Unit Franchise. We may videotape the inspections. Upon notice from Us, and without limiting Our other rights under this Agreement, You will take all steps necessary to correct immediately any deficiencies detected during inspections, including immediately stopping use of any equipment, advertising, materials, products, supplies or other items that do not conform to Our then-current requirements. If You fail or refuse to correct any deficiency, We have the right, without You claiming to the contrary, to enter Your Premises or office without being guilty of trespass or any other tort, for the purposes of making or causing to be made all corrections as required, at Your expense, payable by You upon demand.
Source: Item 23 — RECEIPTS (FDD pages 62–298)
What This Means (2025 FDD)
Based on the 2025 Anago Franchise Disclosure Document, Anago or its representatives have the right to enter a franchisee's premises or buildings where services are being provided to conduct inspections. This is to ensure quality control and maintain the standards of the Anago system and proprietary marks.
During these inspections, Anago may remove samples of products, supplies, and materials in amounts reasonably necessary for inspection and record-keeping at their office. These inspections can be conducted without prior notice at any time, and Anago will aim to minimize interference with the franchisee's operations. Anago also reserves the right to videotape these inspections.
If deficiencies are detected during inspections, the franchisee is required to take immediate steps to correct them, including stopping the use of any non-conforming equipment, advertising, materials, products, or supplies. Should the franchisee fail or refuse to correct these deficiencies, Anago has the right to enter the premises to make the necessary corrections at the franchisee's expense, which is payable upon demand. This ensures that all Anago franchisees adhere to the brand's standards and maintain the quality of service expected within the system.