Does Annex Brands have the right to supervise the franchisee's personnel?
Annex_Brands Franchise · 2025 FDDAnswer from 2025 FDD Document
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.
Franchisor has no right or duty to supervise, or to exercise control over, Franchisee's personnel in the operation of the Center, and disclaims any rights or responsibilities as to Franchisee's personnel.
To the extent that Franchisor provides Franchisee with guidelines, recommendations, materials and other resources related to functions such as 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 or firing personnel, Franchisee may use those resources, or may choose to use alternate resources.
Source: Item 22 — Contracts (FDD pages 109–110)
What This Means (2025 FDD)
According to Annex Brands's 2025 Franchise Disclosure Document, the franchisee is primarily responsible for managing their personnel. Specifically, Annex Brands has no right to supervise or control the franchisee's personnel in the operation of the Center. Annex Brands also disclaims any rights or responsibilities regarding the franchisee's personnel.
The franchisee is responsible for all aspects of personnel management, including recruiting, hiring, training, determining employment terms, compensation, payroll, scheduling, discipline, and termination. The franchisee's personnel are not considered employees, independent contractors, or agents of Annex Brands.
Annex Brands may provide training materials, guidelines, and recommendations to the franchisee related to personnel matters. However, the franchisee can choose whether to use these resources or use alternate resources. The franchisee is also responsible for consulting with HR service providers or legal counsel to ensure compliance with all applicable personnel laws and regulations.