If the Apricot Lane franchisor approves sales through other means, what must the franchisee do?
Apricot_Lane Franchise · 2025 FDDAnswer from 2025 FDD Document
FRANCHISOR hereby grants to FRANCHISEE, upon the terms and conditions herein contained, the right, franchise and privilege (the "franchise") to use the Mark "APRICOT LANE" as provided hereinafter (the "Designated Mark") and such other Marks as FRANCHISOR may authorize from time to time in the operation of a Specialty Store at a single approved location as provided in Section 1.B below. If a location for the Specialty Stores has not been selected and approved on signing this Agreement, the Designated Mark will be inserted in this Section 1.A no later than when a location is selected and approved as provided under the "Open License" terms and in Section 1.B below. The grant is limited to the right to operate a Specialty Store under the Designated Mark at the location designated in Section 1.B for retail over-the-counter sales to consumers of approved merchandise and services as hereinafter provided and any sales by the Franchised Business through any other means such as at wholesale, by mail order, through catalogs, electronic commerce, any other distribution channel, or at fairs or trade shows is prohibited without the express prior written consent of FRANCHISOR. If FRANCHISOR approves such sales, FRANCHISEE's sales shall comply with all conditions set forth in such consent.
Source: Item 23 — RECEIPTS (FDD pages 51–222)
What This Means (2025 FDD)
According to Apricot Lane's 2025 Franchise Disclosure Document, franchisees are generally restricted to retail over-the-counter sales at their approved location. However, Apricot Lane may grant express prior written consent for sales through other channels like wholesale, mail order, catalogs, electronic commerce, or at fairs and trade shows. If Apricot Lane approves such alternative sales methods, the franchisee must ensure that their sales comply with all the conditions stipulated in the franchisor's written consent. This ensures that any deviation from the standard retail model is carefully controlled and aligned with the brand's overall strategy.
This condition is significant for prospective franchisees because it highlights the importance of adhering to Apricot Lane's approved sales methods unless explicit permission is granted for alternatives. Franchisees should not assume they can independently pursue different sales channels without jeopardizing their franchise agreement. Obtaining written consent is crucial, and franchisees must carefully review and comply with all conditions attached to that consent.
This requirement is fairly standard in franchising, as franchisors typically want to maintain control over brand representation and customer experience across all sales channels. By requiring compliance with specific conditions, Apricot Lane can ensure that franchisees engaging in alternative sales methods do so in a way that upholds the brand's standards and protects the integrity of the franchise system. Franchisees should proactively communicate with Apricot Lane and seek clarification on any conditions they find unclear or challenging to implement.