Can Benihana require alterations or modifications to the construction of the Benihana Restaurant while work is in progress?
Benihana Franchise · 2024 FDDAnswer from 2024 FDD Document
- 2.9 BNC shall have access to the Restaurant while work is in progress and may require such reasonable alterations or modifications of the construction that BNC deems necessary.
Source: Item 22 — CONTRACTS (FDD pages 73–74)
What This Means (2024 FDD)
According to Benihana's 2024 Franchise Disclosure Document, Benihana does have the right to access the restaurant location while construction is underway and can mandate reasonable alterations or modifications to the construction as it deems necessary. This is to ensure that the restaurant aligns with Benihana's standards and system requirements.
This provision in the franchise agreement means that prospective franchisees must be prepared for potential changes to the construction plans during the build-out phase. While franchisees are responsible for the design, construction, and equipping of the restaurant, Benihana retains the authority to ensure compliance with its brand standards. These alterations must be reasonable.
It is important for franchisees to maintain open communication with Benihana during the construction process to minimize potential disruptions and additional costs associated with required modifications. Franchisees should also factor in a contingency budget to accommodate any unforeseen alterations that Benihana might require. This clause underscores the importance of adhering to Benihana's specifications and maintaining flexibility throughout the construction phase.