If Annex Brands provides training materials, is the franchisee obligated to use them?
Annex_Brands Franchise · 2025 FDDAnswer from 2025 FDD Document
personnel. To the extent that Franchisor provides Franchisee with materials and other resources related to training Franchisee's management and non-management personnel on matters in the interest of protecting and maintaining the goodwill of the System and the Marks, and not in order to give Franchisor control the day-to-day operation of the Center, Franchisee must use those training resources as Franchisor directs. To the extent that Franchisor provides Franchisee with guidelines, recommendations, materials and other resources related to training Franchisee's management and non-management personnel on other matters, Franchisee may use those training resources, or may choose to use alternate training resources, so long as its management and non-management personnel are trained to operate the Center in a System-compliant, legal and safe manner.
- c) Franchisee is solely responsible for recruiting, interviewing, hiring, determining the terms of employment of, compensating, keeping the time of, processing the payroll of, providing work resources to, scheduling, supervising, disciplining and firing Franchisee's personnel. Franchisee's personnel are not Franchisor's employees, independent contractors or agents.
Source: Item 22 — Contracts (FDD pages 109–110)
What This Means (2025 FDD)
According to Annex Brands's 2025 Franchise Disclosure Document, the franchisee's obligation to use training materials provided by Annex Brands depends on the purpose of the training. If Annex Brands provides materials to protect the goodwill of the System and the Marks, the franchisee must use those training resources as directed by Annex Brands. This suggests that Annex Brands mandates specific training protocols to maintain brand consistency and customer service standards across all franchise locations. These mandatory resources are intended to ensure that all locations operate in a manner that upholds the brand's reputation.
However, if Annex Brands provides guidelines, recommendations, materials, and other resources related to training on other matters, the franchisee has the option to use those resources or choose alternate training resources. This flexibility is allowed as long as the franchisee's management and non-management personnel are trained to operate the Center in a System-compliant, legal, and safe manner. This indicates that while Annex Brands provides support and resources, franchisees have some autonomy in how they train their staff, provided they meet the required operational standards.
In areas such as recruiting, hiring, and managing personnel, Annex Brands may offer resources, but the franchisee is not obligated to use them and may choose alternative resources. Ultimately, the franchisee is responsible for ensuring compliance with all applicable personnel laws and regulations, and should consult with their own third-party human resources service provider or legal counsel. This division of responsibility allows franchisees to tailor their training and management practices to their specific needs and circumstances, while still adhering to the broader standards set by Annex Brands.