What happens if a Beef O Bradys franchisee does not follow the System Standards?
Beef_O_Bradys Franchise · 2025 FDDAnswer from 2025 FDD Document
s at your Family Sports Pub or at another location and at such times that we may designate from time to time. If we require you to provide Beef's Operator Training Program, Opening On-Site Assistance or additional or refresher training to new franchisees, we will compensate you the amount we determine to be the cost incurred by you for providing such Beef's Operator Training Program, Opening On-Site Assistance or additional or refresher training and a reasonable fee to you for your providing the training.
You agree that System Standards prescribed from time to time in the Manuals, or otherwise communicated to you in writing or other tangible form, constitute provisions of this Agreement as if fully set forth herein. All references to this Agreement include all System Standards as periodically modified.
- 11.3 Modification of System Standards. We may periodically modify System Standards, which may accommodate regional or local variations as we determine. Such modifications may obligate you to invest additional capital into your Family Sports Pub ("Capital Modifications") and/or cause you to incur higher operating costs. However, such modifications will not alter your fundamental status and rights under this Agreement. We will not obligate you to make any Capital Modifications when such investment cannot in our reasonable judgment be amortized during the remaining term of this Agreement**,** plus all eligible successor periods, unless we agree to extend the term of your franchise so that such additional investment, in our reasonable judgment, may be amortized; unless such investment is necessary in order to comply with applicable laws. We agree to give you up to 90 days to comply with Capital Modifications we require. However, if a Capital Modification requires an expenditure of more than $20,000 we agree to give you up to 180 days from the date such request is made to comply with such Capital Modification. You are obligated to comply with all modifications to System Standards, including Capital Modifications, within the time period we specify. In no event will we require you to spend in any 12-month period in excess of 25% of the total high-end Item 7 expenditure estimates set forth in this Disclosure Document for "Equipment," "Furniture, Fixtures & Millwork," "
Source: Item 23 — RECEIPTS. (FDD pages 66–330)
What This Means (2025 FDD)
Based on the 2025 Beef O Bradys Franchise Disclosure Document, franchisees must adhere to the System Standards, which include modifications to the Family Sports Pub. These modifications may require additional capital investment and/or higher operating costs. However, these modifications will not alter the franchisee's fundamental status and rights under the Franchise Agreement.
Beef O Bradys will not require franchisees to make any Capital Modifications when such investment cannot be amortized during the remaining term of the agreement, plus all eligible successor periods, unless they agree to extend the term of the franchise so that such additional investment may be amortized, or unless such investment is necessary to comply with applicable laws. Beef O Bradys agrees to give franchisees up to 90 days to comply with Capital Modifications they require. However, if a Capital Modification requires an expenditure of more than $20,000, Beef O Bradys agrees to give franchisees up to 180 days from the date such request is made to comply with such Capital Modification.
Franchisees are obligated to comply with all modifications to System Standards, including Capital Modifications, within the time period Beef O Bradys specifies. In any 12-month period, Beef O Bradys will not require franchisees to spend in excess of 25% of the total high-end Item 7 expenditure estimates set forth in the Disclosure Document for "Equipment," "Furniture, Fixtures & Millwork," "Audio and Video Equipment," "Leasehold Improvements," and "Signage", combined, from the Franchise Disclosure Document during the term of the Agreement in connection with Capital Modifications. Beef O Bradys reserves the right to require franchisees to make any Capital Modifications in order to re-image their Family Sports Pub when at least 75% of the Beef O Brady's System has already adopted such new re-image.
Beef O Bradys franchisees agree at all times to maintain the Family Sports Pub's interior and exterior and the surrounding area in the highest degree of cleanliness, orderliness and sanitation and comply with the requirements regarding the upkeep of the Family Sports Pub established in the Manuals and by federal, state and local laws. Franchisees also agree to operate the Family Sports Pub between the hours of 11:00 a.m. and 11:00 p.m., Monday through Sunday, unless Beef O Bradys has otherwise approved in advance in writing.