What actions must an Azal Coffee franchisee complete to refurbish their franchise location?
Azal_Coffee Franchise · 2024 FDDAnswer from 2024 FDD Document
n thirty (30) days after receipt of the notice and diligently proceed to complete the specified action.
In addition to regular maintenance obligations, you must renovate and modernize the Franchise Location, premises, equipment, furniture, fixtures, signs, Franchise Trade Dress, and other property of the Franchise Business on our request once during the initial term of the Franchise Agreement at any time after the end of the 5th year of the initial term of the Franchise Agreement to conform with our specifications for the then current image of Stores using the Franchise Marks; provided, however, that the cost of each renovation and modernization will not exceed Seventy Five Thousand Dollars ($75,000). You must initiate the specified action within thirty (30) days after receipt of the notice and diligently proceed to complete the specified action.
If you fail to initiate any required repairs or maintenance or the required renovations and modernizations within thirty (30) days after receipt of written notice from us describing the specific repairs or alterations that are required or if you fail to diligently proceed to complete the specific repairs or alterations, then we, without being guilty in any manner of trespass, fault, or negligence, and without prejudice to any of the other remedies we have, may have the repairs or alterations completed, at your expense, to maintain the Franchise Business in accordance with our required standards. If this occurs, you must immediately reimburse us for all costs we incurred to make t
Source: Item 22 — CONTRACTS (FDD page 51)
What This Means (2024 FDD)
According to Azal Coffee's 2024 Franchise Disclosure Document, franchisees are obligated to renovate and modernize their franchise location during the initial term of the Franchise Agreement. This includes the premises, equipment, furniture, fixtures, signs, Franchise Trade Dress, and other property of the Franchise Business. Azal Coffee may request this renovation once after the end of the 5th year of the initial term to ensure it conforms to the current image of Azal Coffee stores using the Franchise Marks. The cost of this renovation and modernization will not exceed $75,000.
The franchisee must start the specified actions within 30 days after receiving notice from Azal Coffee and diligently work to complete the renovation. The notice will describe the specific repairs or alterations required. If the franchisee fails to start or diligently complete these actions, Azal Coffee has the right to complete the repairs or alterations at the franchisee's expense to maintain the Franchise Business in accordance with their standards.
If Azal Coffee completes the renovations, the franchisee must immediately reimburse Azal Coffee for all costs incurred. Additionally, the franchisee must indemnify and hold Azal Coffee, its franchisees, and affiliates harmless from all liabilities, costs, and claims, including attorney's fees, arising out of any action connected to the construction or renovation.