factual

Will Auntie Annes furnish specifications for Goods to franchisees?

Auntie_Annes Franchise · 2024 FDD

Answer from 2024 FDD Document

  • **5.

Goods**.

We will furnish you with any specifications for Goods, to the extent that we publish such specifications. (Franchise Agreement, Sections 7.1. and 7.2)

  • **6.

Approved Suppliers.** We will identify Approved Suppliers for all Goods required to be used in the Shop and use reasonable efforts to fulfill or cause Approved Suppliers to fulfill your orders for Goods on a timely basis.

If we, our affiliates, and/or our Approved Suppliers cannot supply customers (including yourself and other franchisees) with the quantity and type of Goods that they request, then we will try to allocate the available quantities and types of Goods on an equitable basis among businesses seeking to purchase the Goods.

If you do not receive Goods from us, our affiliates, or our Approved Suppliers, this will not be our breach of the Franchise Agreement, nor will we, our affiliates, or our Approved Suppliers be liable to you for this. (Franchise Agreement, Section 7.1.B.)

Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS AND TRAINING (FDD pages 61–77)

What This Means (2024 FDD)

According to Auntie Annes' 2024 Franchise Disclosure Document, Auntie Annes will furnish franchisees with specifications for goods, but only to the extent that they publish such specifications. This means that Auntie Annes is not obligated to create specifications if they don't already exist, but if they do, they will provide them to the franchisee.

Furthermore, Auntie Annes will identify approved suppliers for all goods required to be used in the shop and use reasonable efforts to fulfill or cause approved suppliers to fulfill orders for goods on a timely basis. However, if Auntie Annes, their affiliates, and/or their approved suppliers cannot supply customers (including franchisees) with the quantity and type of goods requested, they will try to allocate the available quantities and types of goods equitably among businesses seeking to purchase the goods.

It's important to note that if a franchisee does not receive goods from Auntie Annes, their affiliates, or their approved suppliers, this will not be considered a breach of the Franchise Agreement. Additionally, neither Auntie Annes, their affiliates, nor their approved suppliers will be liable to the franchisee for this. This highlights the importance of maintaining good relationships with approved suppliers and proactively managing inventory to mitigate potential supply issues.

Disclaimer: This information is extracted from the 2024 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.