Must I honor gift cards issued by other Azal Coffee franchisees?
Azal_Coffee Franchise · 2024 FDDAnswer from 2024 FDD Document
You must participate in all gift cards, electronic gift or money cards (E-cards), frequency cards, awards or loyalty programs, or other programs specified by us and you must honor all cards, awards, and other programs issued by us or by other franchisees in accordance with our policies. You acknowledge and agree that your participation in those programs is integral to the Franchise Systems and to the success of those programs. We or a person designated by us will administer all gift and E-card or other programs specified by us. We retain the right to retain and use for our benefit any breakage from gift cards. We may charge an administrative fee for administrating those programs. We will have the right to charge you liquidated damages under Section 15.7 for each week that you fail to participate in any of these programs specified by us.
Source: Item 22 — CONTRACTS (FDD page 51)
What This Means (2024 FDD)
According to Azal Coffee's 2024 Franchise Disclosure Document, franchisees must participate in all gift card, electronic gift card (E-card), frequency card, awards, loyalty programs, or other programs specified by Azal Coffee. Franchisees are also required to honor all cards, awards and other programs issued by Azal Coffee or by other franchisees, in accordance with Azal Coffee's policies.
Azal Coffee emphasizes that participation in these programs is integral to the franchise system and the success of the programs. Azal Coffee, or a person designated by them, will administer all gift and E-card or other programs specified by them.
Azal Coffee retains the right to retain and use any breakage from gift cards for their benefit and may charge an administrative fee for administering these programs. Failure to participate in these programs may result in liquidated damages under Section 15.7 for each week of non-compliance.