What are the potential consequences if a Beehive Homes franchisee fails to comply with the Standards?
Beehive_Homes Franchise · 2025 FDDAnswer from 2025 FDD Document
d industry standards.
- 11.2. Quality Control. Franchisor or its authorized representatives may enter upon the premises of the Home to determine that Franchisor's Standards are being maintained and without being guilty of any manner of trespass, fault or negligence. Without prejudice to any of the other remedies available to Franchisor, Franchisor may remove from the Home any products, not belonging to a resident, which in its reasonable determination do not meet its required uniform Standards.
- 11.3. Services. Franchisee covenants to provide at the Home those services as may be established in Franchisor's Standards from time to time and shall not provide at the Home any services that do not conform to the Standards, specifications, quality or characteristics as from time to time may be prescribed by Franchisor, without the prior written approval of Franchisor. Franchisee shall not permit the use of the whole or any part of the premises of the Home for purposes or functions reasonably objected to by Franchisor.
- 11.4. Furnishings, Equipment and Supplies. Franchisee covenants that there shall be used in providing services at the Home only such furnishings, equipment and supplies as shall comply with the specifications and Standards prescribed by Franchisor from time to time.
- 11.5. Maintenance. The Franchisee shall at all times maintain the interior and exterior of the Home and the surrounding premises used in connection with said business in the highest degree of cleanliness, orderliness, sanitation and repair, in accordance with Franchisor's Standards. At the expiration of seventy-two (72) hours notice by Franchisor to the Franchisee setting forth the failure of the Franchisee to abide by the terms of this Section, if the Franchisee has not cured said default, Franchisor, without being guilty of any manner of trespass, negligence or fault, and without prejudice to any of the remedies available to Franchisor, may enter the Home and, at a cost to be paid by the Franchisee, shall, in the reasonable determination of Franchisor, correct whatever
situation is necessary so that the Home and the surrounding premises are operated in the highest degree of cleanliness, orderliness, sanitation and repair required by the Standards of Franchisor.
- 11.6. Repairs. The Franchisee shall repair, alter and paint the exterior and interior of the Home at its own expense at reasonable times or as reasonably directed by Franchisor, and in accordance with Franchisor's Standards.
Source: Item 23 — RECEIPTS (FDD pages 34–123)
What This Means (2025 FDD)
According to Beehive Homes' 2025 Franchise Disclosure Document, franchisees are obligated to adhere to the brand's standards, and failure to do so can lead to specific actions by the franchisor. Beehive Homes' standards encompass various aspects of the business, including specifications for supplies, products, and services. The franchisor can mandate the purchase of particular items that meet certain standards to maintain uniformity across all locations. Franchisees must also adhere to the standards outlined in the manual, keeping state-specific portions current.
Beehive Homes retains the right to inspect the premises to ensure compliance with its standards. If a franchisee fails to maintain these standards, Beehive Homes can take corrective action at the franchisee's expense. This includes addressing issues related to cleanliness, orderliness, sanitation, and repair of the property. The franchisor will provide a 72-hour notice for the franchisee to rectify the situation. If the franchisee does not comply within this timeframe, Beehive Homes can enter the property and make the necessary corrections, with the franchisee bearing the costs.
Furthermore, Beehive Homes can direct franchisees to make repairs, alterations, and paint the property according to the franchisor's standards. If the franchisee fails to complete these actions within 30 days of receiving notice, Beehive Homes can undertake the work at the franchisee's expense. This ensures that all Beehive Homes locations maintain a consistent level of quality and appearance, protecting the brand's reputation and goodwill. Franchisees are also obligated to ensure their employees maintain a clean and neat appearance in accordance with Beehive Homes' standards and to use only approved printed and promotional materials.