Can Belocal disapprove previously approved advertising and promotional plans and materials?
Belocal Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee shall not use such plans or materials until approved by Franchisor.
Franchisor reserves the right to disapprove previously approved plans and materials at any time, in Franchisor's sole discretion.
Franchisee must promptly discontinue use of any promotional or advertising plans or materials upon notice from Franchisor to do so.
Source: Item 22 — CONTRACTS (FDD page 71)
What This Means (2025 FDD)
According to Belocal's 2025 Franchise Disclosure Document, Belocal retains the right to disapprove advertising and promotional materials, even if they were previously approved. This means that a franchisee must get approval from Belocal before using any advertising or promotional plans or materials.
Belocal has the authority to change its mind and retract approval at any time. If Belocal notifies a franchisee to stop using certain promotional or advertising materials, the franchisee must comply immediately. This gives Belocal significant control over the marketing and advertising strategies employed by its franchisees.
This clause protects Belocal's brand consistency and reputation, but it also introduces a degree of risk for the franchisee. The franchisee could incur costs developing materials that are later disapproved, or be forced to quickly change marketing strategies. Therefore, franchisees should maintain open communication with Belocal regarding advertising and promotional plans to minimize potential disruptions.