During a Benihana inspection, what does BNC have the right to examine and test?
Benihana Franchise · 2024 FDDAnswer from 2024 FDD Document
ts to apply to any other BENIHANA Restaurant, except to the extent that Franchisee has received BNC's prior written authorization.
ARTICLE 10. INSPECTIONS
10.1 BNC, or its authorized representatives, shall have the right to enter and inspect the Restaurant and examine and test food products and supplies for the purpose of ascertaining that Franchisee
is operating in accordance with the terms of this Agreement. Inspections will be conducted during normal business hours. BNC will notify Franchisee of any deficiencies detected during inspection, and Franchisee must promptly and diligently correct any such deficiencies. Should Franchisee, for any reason, fail to correct any deficiencies within a reasonable time as determined by BNC, BNC shall have the right and authority (without, however, any obligation to do so) to correct such deficiencies and to charge Franchisee a reasonable fee for BNC's expenses in so acting, payable by Franchisee upon demand.
Source: Item 22 — CONTRACTS (FDD pages 73–74)
What This Means (2024 FDD)
According to Benihana's 2024 Franchise Disclosure Document, Benihana, or its authorized representatives, has the right to enter and inspect the restaurant. During the inspection, they can examine and test food products and supplies.
This inspection is to ensure that the franchisee is operating in accordance with the terms of the Franchise Agreement. These inspections will occur during normal business hours.
If any deficiencies are found during the inspection, Benihana will notify the franchisee, who must then promptly correct them. If the franchisee fails to correct these deficiencies within a reasonable time, Benihana has the right, but not the obligation, to correct them and charge the franchisee a reasonable fee for the expenses incurred.