Is a Beehive Homes franchisee obligated to conform to regulations enacted by the franchisor?

According to Beehive Homes' 2025 Franchise Disclosure Document, franchisees must adhere to all regulations the franchisor enacts. Specifically, the franchisee is obligated to strictly conform to and obey all regulations which are or shall hereafter be enacted by Beehive Homes for all of its franchisees.

This obligation extends to various aspects of the Beehive Homes business. Franchisees must comply with the standards set forth by Beehive Homes, including specifications for supplies, products, and services. Beehive Homes may also require franchisees to purchase particular supplies, products, or services that meet certain standards to maintain uniformity across all locations. Franchisees must also adhere to the standards contained in the manual provided by Beehive Homes, ensuring they keep up-to-date with any state-specific portions.

Furthermore, franchisees must comply with all applicable statutes, ordinances, rules, and regulations of federal, state, and local governments that affect the operation of their franchise. They must also avoid any activity that could result in public criticism of the Beehive Homes system. This encompasses maintaining the cleanliness, orderliness, and repair of the home's interior and exterior, using only printed materials that comply with Beehive Homes' standards, and displaying advertising signs as specified by Beehive Homes.

In practical terms, this means a Beehive Homes franchisee has limited autonomy in how they operate their business. They must consistently follow the franchisor's guidelines and regulations, which can impact everything from the supplies they purchase to the appearance of their facility. While this ensures brand consistency and quality, it also means franchisees must be prepared to adapt to changes and updates implemented by Beehive Homes.