Does Auntie Annes's acceptance of the architect imply endorsement or liability for their performance?
Auntie_Annes Franchise · 2024 FDDAnswer from 2024 FDD Document
nsed and insured general contractor ("General Contractor") to complete the build-out of your Shop, and the General Contractor must be accepted by us. Our acceptance of your General Contractor will not in any way be our endorsement of your General Contractor or render us liable for your General Contractor's performance. (Franchise Agreement, Section 6.1)
- 4. Architectural Plans. We will provide a sample layout and specifications for the Shop. You must, at your expense, employ a licensed architect that we accept in writing and licensed engineers (e.g., mechanical, electrical, plumbing, or structural engineers) as necessary to prepare your Architectural Plans. We will review your proposed architect and Architectural Plans. Our acceptance of your architect will not in any way be our endorsement of your architect or render us liable for your architect's performance or your architect's compliance with professional design standards or adherence to local codes. Our review of the Architectural Plans is limited to ensuring your compliance with our Standards and is not designed to assess structural integrity or compliance wi
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS AND TRAINING (FDD pages 61–77)
What This Means (2024 FDD)
According to Auntie Annes's 2024 Franchise Disclosure Document, while Auntie Anne's requires the franchisee to employ a licensed architect that they accept in writing to prepare Architectural Plans, this acceptance does not constitute an endorsement of the architect. Furthermore, Auntie Anne's will not be held liable for the architect's performance or their compliance with professional design standards or local codes.
The FDD specifies that the review of the Architectural Plans by Auntie Anne's is limited to ensuring compliance with their standards and is not designed to assess structural integrity or compliance with applicable laws. After the initial review of the Architectural Plans at no cost and a review of one revised set of Architectural Plans that incorporate required changes at no cost, Auntie Anne's may charge a fee of $1,000 for each set of drawings they review that include any other modifications from the plans that they have previously accepted.
This means that the franchisee is ultimately responsible for the selection and performance of the architect, as well as ensuring that the architectural plans comply with all applicable laws and regulations. The franchisee bears the risk of any issues arising from the architect's work. It is common practice in franchising for franchisors to review and approve certain vendors or service providers, but to disclaim any liability for their performance, shifting the responsibility to the franchisee.