factual

Is Bang Cookies obligated to locate a site for the Development Shops?

Bang_Cookies Franchise · 2024 FDD

Answer from 2024 FDD Document

Franchisee will be solely responsible for selecting the site(s) for the Franchisee's Shop Locations. In accordance with the terms and conditions of each respective Franchise Agreement, Franchisee must obtain Franchisor's prior written approval as to each potential Shop Location selected by Franchisee. Franchisee will retain an experienced commercial real estate broker or salesperson who has sufficient experience in locating Shop sites to locate, acquire, purchase or lease the site for the Franchisee's Development Shops.

Accordingly, no provision of this Agreement will be construed or interpreted to impose any obligation upon Franchisor to locate a site for the Development Shops, to assist Franchisee in the selection of a suitable site for the Development Shops, or to provide any assistance to the Franchisee in the purchase or lease of the site for the Development Shops.

5.6 SITE SELECTION CRITERIA

Franchisee will not lease, purchase or otherwise acquire a Shop Locations for the Development Shops until such information as Franchisor may require regarding the proposed site has been provided to Franchisor by Franchisee and has been approved by Franchisor. Information requested by Franchisor may include, without limitation, information regarding the proposed Shop Location as to accessibility, visibility, potential traffic flows, lease terms and other demographic information. Franchisee shall not enter into any lease or purchase agreement with respect to any proposed Shop Location until Franchisor has approved the site.

Source: Item 23 — RECEIPTS (FDD pages 56–245)

What This Means (2024 FDD)

According to Bang Cookies's 2024 Franchise Disclosure Document, the franchisee is solely responsible for selecting the site for their Bang Cookies shop location. The franchisee must also obtain Bang Cookies's prior written approval for the potential shop location. To aid in this process, the franchisee must retain an experienced commercial real estate broker or salesperson to locate, acquire, purchase, or lease the site for the Development Shops.

Bang Cookies has no obligation to locate a site for the Development Shops, assist the franchisee in selecting a suitable site, or provide any assistance in the purchase or lease of the site. However, the franchisee cannot lease, purchase, or acquire a shop location until they provide Bang Cookies with the required information regarding the proposed site and Bang Cookies approves it.

This information may include details regarding accessibility, visibility, potential traffic flows, lease terms, and other demographic information. The franchisee cannot enter into any lease or purchase agreement until Bang Cookies has approved the site. This means that while Bang Cookies does not assist in site selection, they maintain control over the final decision, ensuring it aligns with their brand and operational standards.

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.