Is Benihana required to provide pre-opening and opening assistance and training of additional employees at the restaurant?
Benihana Franchise · 2024 FDDAnswer from 2024 FDD Document
s the Restaurant ("Initial Training"). The Initial Training provided by BNC shall be subject to the terms set forth in Article 5 of this Agreement.
- 4.3 BNC shall also provide pre-opening and opening assistance and training of additional employees of Franchisee (other than those trained at the Initial Training) at the Restaurant ("In-Restaurant Training") as deemed appropriate to the operation of the Restaurant by BNC in its discretion. The In-Restaurant Training provided by BNC shall be subject to the terms set forth in Article 5 of this Agreement.
- 4.4 BNC in its discretion will provide additional on-going training after the opening of the Restaurant, as applicable, for chefs, general managers, and other restaurant personnel, subject to BNC's availability and openings for such training.
ARTICLE 5. TRAINING
- 5.1 The pre-opening Initial Training and In-Restaurant Training will be agreed to by the parties and set forth on SCHEDULE 1-C to this Agreement.
- 5.2 Franchisee shall pay all expenses incurred in connection with the Initial Training and In-Restaurant Training, including, without limitation, the costs of wages, travel, lodging, living, meals, and
other expenses of Franchisee's employees.
- 5.3 All training programs shall be at such times and places designated by BNC. Currently, the Initial Training is held at BNC's principal place of business and the In-Restaurant Training is held at another BENIHANA Restaurant. If BNC determines to conduct any training programs at any other Location, Franchisee shall reimburse BNC for the reasonable out-of-pocket expenses incurred by BNC's training instructors, including but not limited to wages, travel expenses, food and lodging, and auto rental.
- 5.4 Franchisee and such other employees of Franchisee designated by BNC shall also be required to attend continuing courses, seminars, and other training programs ("Ongoing Training") as BNC may require from time to time. BNC may require Franchisee or its employees to attend additional training programs at either BNC's principal place of business, at the Restaurant, or at a designated BENIHANA Restaurant, as BNC determines in its sole discretion. Franchisee shall be responsible for any and all expenses incurred in connection with Ongoing Training, including, without limitation, salaries or wages, transportation, lodging and meals.
Source: Item 22 — CONTRACTS (FDD pages 73–74)
What This Means (2024 FDD)
According to Benihana's 2024 Franchise Disclosure Document, Benihana will provide pre-opening and opening assistance and training of additional employees at the restaurant. This training, referred to as "In-Restaurant Training," is for employees other than those who receive initial training. However, the extent and appropriateness of this training is determined at Benihana's discretion. The In-Restaurant Training is subject to the terms outlined in Article 5 of the agreement.
Article 5 states that the specifics of the pre-opening Initial Training and In-Restaurant Training will be agreed upon by both parties and detailed in SCHEDULE 1-C of the agreement. The franchisee is responsible for covering all expenses associated with both the Initial Training and the In-Restaurant Training. These expenses include wages, travel, lodging, living costs, and meals for the franchisee's employees.
All training programs will be held at times and locations designated by Benihana. Currently, Initial Training takes place at Benihana's principal place of business, while In-Restaurant Training is conducted at another Benihana restaurant. If Benihana decides to conduct training programs at a different location, the franchisee must reimburse Benihana for the out-of-pocket expenses incurred by the training instructors. These expenses include wages, travel, food, lodging, and car rental.
Benihana also requires franchisees and designated employees to attend continuing courses, seminars, and other training programs, referred to as "Ongoing Training," as needed. These programs may take place at Benihana's principal place of business, at the franchisee's restaurant, or at another designated Benihana restaurant, as determined by Benihana. The franchisee is responsible for all expenses related to Ongoing Training, including salaries, transportation, lodging, and meals. If Ongoing Training is conducted at the franchisee's location, the franchisee must reimburse Benihana for the training instructors' out-of-pocket expenses, such as travel, food, lodging, and car rental.