What laws is the Bananas Smoothies Frozen Yogurt franchisee responsible for complying with regarding their employees?
Bananas_Smoothies_Frozen_Yogurt Franchise · 2025 FDDAnswer from 2025 FDD Document
24.01 Independent Contractor. Neither this Agreement nor the dealings of the parties pursuant to this Agreement shall create any fiduciary relationship or any other relationship of trust or confidence between the parties hereto. Franchisor and Franchisee, as between themselves, are and shall be independent contractors. Franchisee is solely responsible for hiring, supervising, and directing all of Franchisee's employees, for the payment and withholding of all payroll and other taxes imposed upon or determined by wages and salaries of such employees, and for complying with all applicable laws relating to worker's and unemployment compensation, occupational disease, disability and similar laws. Franchisor has no control over Franchisee's employees, including the terms and conditions of their employment.
Source: Item 23 — RECEIPT (FDD pages 58–231)
What This Means (2025 FDD)
According to the 2025 Bananas Smoothies Frozen Yogurt Franchise Disclosure Document, the franchisee is considered an independent contractor and is solely responsible for all aspects of their employees' employment. This includes hiring, supervising, and directing employees.
The Bananas Smoothies Frozen Yogurt franchisee is responsible for the payment and withholding of all payroll and other taxes related to employee wages and salaries. They must also comply with all applicable laws relating to worker's compensation, unemployment compensation, occupational disease, disability, and similar laws.
Bananas Smoothies Frozen Yogurt maintains no control over the franchisee's employees, including the terms and conditions of their employment. This reinforces the franchisee's role as the direct employer and the party responsible for ensuring compliance with all relevant employment laws and regulations.