Does the Better Blend franchise agreement require compliance with future changes to the system standards?
Better_Blend Franchise · 2024 FDDAnswer from 2024 FDD Document
Better Blend business.
"Required Vendor" means a supplier, vendor, or distributor of Inputs which BBF requires franchisees to use.
"System Standards" means, as of any given time, the then-current mandatory procedures, requirements, and/or standards of the System as determined by BBF, which may include without limitation, any procedures, requirements and/or standards for appearance, business metrics, cleanliness, customer service, data protection and privacy, design (such as construction, decoration, layout, furniture, fixtures and signs), environmental protection and sustainability,
equipment, inventory, maintenance, marketing and public relations, minimum numbers and types of personnel, operating days, operating hours, presentation of Marks, product and service offerings (including menu and beverages), quality of products and services, recipes, refund and replacement policies, reporting, safety, procedures, security systems, Technology, temporary operational changes due to special circumstances (such as a pandemic), uniforms, and vehicles.
"Technology" means point-of-sale systems, back-office systems, information management systems, customer-facing software, and other software, computers, computer peripheral equipment, cash registers, smartphones, tablets and similar equipment, communications systems (including email, audio, and video systems); backup and archiving systems; payment acceptance systems (including credit and debit card systems, check verification services, and other payment systems, as well as any compliance programs relating to those systems), and internet access, as well as upgrades, supplements, and modifications to any Technology.
"Territory" means the Protected Store Territory stated on the Summary Page, measured as a radius from the front door of the Business. If no Protected Store Territory is stated on the Summary Page, then the Territory is determined in accordance with Section 6.1.
Source: Item 22 — CONTRACTS (FDD page 43)
What This Means (2024 FDD)
According to Better Blend's 2024 Franchise Disclosure Document, franchisees must adhere to the System Standards, which Better Blend can modify over time. The System includes methods, procedures, and standards for operating a Better Blend business. System Standards encompass mandatory procedures, requirements, and standards determined by Better Blend, covering aspects like appearance, business metrics, cleanliness, customer service, data protection, design, environmental protection, equipment, inventory, maintenance, marketing, personnel, operating days and hours, presentation of Marks, product and service offerings, quality, recipes, refund policies, reporting, safety, security systems, Technology, temporary operational changes, uniforms, and vehicles.
Better Blend retains the right to change the System Standards, meaning franchisees must adapt their business operations to comply with these changes. This includes adopting new technologies, modifying product offerings, or altering store layouts as directed by Better Blend. Better Blend also has the right to operate, administrate, develop, and change the System in any manner that is not specifically precluded by the Franchise Agreement.
While Better Blend has the discretion to vary or waive System Standards for individual franchises due to specific circumstances, franchisees are not automatically entitled to the same variations or waivers. Better Blend's decisions are considered valid if they reflect reasonable business judgment and aim to benefit the System or the Better Blend brand, even if they also promote Better Blend's financial interests. This ensures uniformity and competitiveness across all Better Blend locations, but it also places the onus on franchisees to stay updated and compliant with any changes implemented by Better Blend.