Can Beggars Pizza require a franchisee to renovate and modernize the restaurant premises as a condition of renewal?
Beggars_Pizza Franchise · 2025 FDDAnswer from 2025 FDD Document
- 7.12 Maintenance of Premises.
Franchisee must maintain the Premises (including the adjacent public areas) in a clean, orderly condition and in excellent repair; and, in connection therewith, Franchisee must, at its expense, make such additions, alterations, repairs and replacements thereto (but no others without Franchisor's prior written consent) as may be required for that purpose including, without limitation, such periodic repainting or replacement of obsolete signs, furnishings, equipment, and décor as Franchisor may reasonably direct.
- 7.13 Refurbishment.
At Franchisor's request, but no more than once every five (5) years, unless sooner required by Franchisee's lease, Franchisee must refurbish the Premises, at its
expense, to conform to the building design, trade dress, color schemes and presentation of the Proprietary Marks in a manner consistent with the then-current image for new Beggars Pizza® restaurants. Such refurbishment may include, without limitation, structural changes, remodeling, redecoration, and modifications to existing improvements.
Source: Item 22 — CONTRACTS (FDD page 39)
What This Means (2025 FDD)
According to Beggars Pizza's 2025 Franchise Disclosure Document, franchisees are required to maintain their premises in excellent condition and repair. This includes making necessary additions, alterations, repairs, and replacements. Beggars Pizza can direct franchisees to undertake periodic repainting or replacement of obsolete signs, furnishings, equipment, and décor.
Furthermore, Beggars Pizza can request franchisees to refurbish the premises, at the franchisee's expense, to conform to the current image of new Beggars Pizza restaurants. This refurbishment can occur no more than once every five years, unless the franchisee's lease requires it sooner. The refurbishment may include structural changes, remodeling, redecoration, and modifications to existing improvements.
While the FDD excerpt details the requirements for maintaining and refurbishing the premises during the franchise term, it does not explicitly state whether Beggars Pizza can mandate these renovations as a condition of franchise renewal. A prospective franchisee should clarify with Beggars Pizza whether such renovations are a condition for renewal and what the potential costs and scope of those renovations might be.