Can Better Blend take action to resolve a customer complaint regarding the Better Blend Business?
Better_Blend Franchise · 2024 FDDAnswer from 2024 FDD Document
BBF's decisions or actions will be deemed to be the result of reasonable business judgment, even if other reasonable or even arguably preferable alternatives are available, if BBF's decision or action is intended, in whole or significant part, to promote or benefit the System or the Better Blend brand generally even if the decision or action also promotes BBF's financial or other individual interest.
Examples of items that will promote or benefit the System or the Better Blend brand include enhancing the value of the Marks, improving customer service and satisfaction, improving product quality, improving uniformity, enhancing or encouraging modernization, and improving the competitive position of the System and Better Blend outlets.
- 11.13 Temporary Management. If (i) the Principal Executive dies or becomes incapacitated, (ii) this Agreement is terminated or expires and BBF elects to purchase assets of the Business as provided in Section 14.6, or (iii) Franchisee is operating the Business in a manner which, in BBF's reasonable opinion, constitutes a danger to the health or safety of any person, then BBF may (but is not obligated to) enter the Location and operate and manage the Business for Franchisee's (or Franchisee's estate's) account until this Agreement is terminated, the Business is transferred, the Business is purchased by BBF, or BBF returns the Business to Franchisee.
BBF's operation and management will not continue for more than 90 days without Franchisee's consent (or the consent of the representatives of Franchisee's estate).
If this Agreement has not terminated or expired, then BBF will account to Franchisee for all net income from the Business during the period in which BBF operates the Business.
BBF may collect a temporary management fee equal to 10% of Adjusted Gross Sales for the period in which BBF operates the Business, plus all expenses
Source: Item 22 — CONTRACTS (FDD page 43)
What This Means (2024 FDD)
According to Better Blend's 2024 Franchise Disclosure Document, Better Blend can take certain actions that would improve customer service and satisfaction. Better Blend's decisions or actions will be deemed the result of reasonable business judgment, even if other reasonable or even arguably preferable alternatives are available, if Better Blend's decision or action is intended, in whole or significant part, to promote or benefit the System or the Better Blend brand generally even if the decision or action also promotes BBF's financial or other individual interest. Examples of items that will promote or benefit the System or the Better Blend brand include enhancing the value of the Marks, improving customer service and satisfaction, improving product quality, improving uniformity, enhancing or encouraging modernization, and improving the competitive position of the System and Better Blend outlets.
Better Blend also has the right to temporarily manage a franchise under specific conditions. If the franchisee is operating the Business in a manner which, in BBF's reasonable opinion, constitutes a danger to the health or safety of any person, then BBF may (but is not obligated to) enter the Location and operate and manage the Business for Franchisee's (or Franchisee's estate's) account until this Agreement is terminated, the Business is transferred, the Business is purchased by BBF, or BBF returns the Business to Franchisee. BBF's operation and management will not continue for more than 90 days without Franchisee's consent (or the consent of the representatives of Franchisee's estate). If this Agreement has not terminated or expired, then BBF will account to Franchisee for all net income from the Business during the period in which BBF operates the Business. BBF may collect a temporary management fee equal to 10% of Adjusted Gross Sales for the period in which BBF operates the Business, plus all expenses.
While the FDD does not explicitly state that Better Blend will directly intervene to resolve every customer complaint, it does outline Better Blend's broader rights and responsibilities to ensure brand standards and customer satisfaction are maintained. This may include implementing customer service protocols, addressing quality control issues, or, in extreme cases, temporarily managing a location to rectify problems. A prospective franchisee should inquire about the specific mechanisms Better Blend has in place for handling and resolving customer complaints to fully understand the support and oversight provided.