factual

What must a Franchisee notify Bambu of as soon as it has passed?

Bambu Franchise · 2025 FDD

Answer from 2025 FDD Document

Franchisee shall promptly forward to Bambu copies of all health department, fire department, building department and other similar reports of inspections as and when they become available, and shall notify Bambu in writing within three business days of: (1) the commencement of any action, suit or proceeding relating to the shoppe; (2) the issuance of any order, writ, injunction, award or decree of any court, agency or other governmental instrumentality relating to the shoppe; (3) any notice or violation of any law, ordinance or regulation relating to the shoppe; (4) receipt of any notice of complaint from the Better Business Bureau, and local, state or federal consumer affairs department or division, or any other governmental or independent third party involving a complaint from a customer or potential customer relating to the shoppe, or (5) written complaints from any customer or potential customer, providing Bambu copies of any documentation along with the notice.

Franchisee shall resolve or otherwise address any matter listed in (1) through (5) above in a prompt and reasonable manner in accordance with good business practices.

Source: Item 23 — Receipts (FDD pages 52–209)

What This Means (2025 FDD)

According to Bambu's 2025 Franchise Disclosure Document, a franchisee must promptly notify Bambu in writing within three business days of several key events. These include the commencement of any action, suit, or proceeding related to the shoppe, ensuring Bambu is aware of any legal challenges the business might face. Additionally, the franchisee must report the issuance of any order, writ, injunction, award, or decree from a court or governmental agency that affects the shoppe, keeping Bambu informed of any regulatory or judicial impacts.

Furthermore, the franchisee is obligated to inform Bambu of any notice of violation of laws, ordinances, or regulations pertaining to the shoppe, which helps in maintaining compliance and avoiding penalties. The franchisee must also report the receipt of any notice of complaint from the Better Business Bureau, consumer affairs departments, or any third party involving customer complaints, along with providing copies of any related documentation. This ensures that Bambu is aware of and can assist in addressing customer service issues. Finally, written complaints from any customer or potential customer must also be reported, providing Bambu with copies of the documentation.

This requirement ensures that Bambu is kept in the loop regarding critical operational, legal, and customer-related issues affecting the franchise. By mandating prompt notification, Bambu aims to maintain brand consistency, ensure regulatory compliance, and address customer concerns effectively. This level of oversight is common in franchising, as franchisors need to protect their brand and ensure that all franchisees adhere to consistent standards and practices. The franchisee is also responsible for resolving these issues in a reasonable manner.

In addition to these notifications, the franchisee is also required to forward copies of all health department, fire department, building department, and other similar inspection reports as they become available. This ensures that Bambu has access to all relevant compliance documentation and can assist the franchisee in maintaining a safe and compliant business environment.

Disclaimer: This information is extracted from the 2025 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.