Can Beauty Bungalows reject a location for the Franchise, and under what conditions?
Beauty_Bungalows Franchise · 2025 FDDAnswer from 2025 FDD Document
for you Business and you are unable or unwilling to acquire such Premises or an alternative Premises that we accept within 90 days of the Effective Date of this Agreement, we may terminate this Agreement. Franchisee agrees that the location of the Franchise isa factor in the potential for success of the Business and Franchisor may reject any location in its sole discretion, but consent will not be unreasonably withheld.
- 8.03 Equipment, Inventory, Advertising and Services.
Source: Item 22 — CONTRACTS (FDD pages 47–48)
What This Means (2025 FDD)
According to Beauty Bungalows' 2025 Franchise Disclosure Document, the franchisor has the authority to reject a proposed franchise location. The FDD states that the location of the franchise is a factor in the potential success of the business.
The document specifies that Beauty Bungalows may reject any location in its sole discretion. However, this consent will not be unreasonably withheld. This means that while Beauty Bungalows has the right to refuse a location, they must have a legitimate business reason for doing so, and cannot simply reject a site without justification.
Beauty Bungalows will approve or disapprove a site within thirty days after receiving notice of the proposed franchise location from the franchisee. If Beauty Bungalows has accepted a premises for the business, and the franchisee is unable or unwilling to acquire such premises or an alternative premises that Beauty Bungalows accepts within 90 days of the Effective Date of the Agreement, Beauty Bungalows may terminate the agreement.