If Bhc uses a public figure, will franchisees have a choice in whether or not to participate in the promotion?
Bhc Franchise · 2025 FDDAnswer from 2025 FDD Document
- (f) Franchisee must fully participate with any gift card, customer loyalty, referral and other contests and promotions Franchisor arranges for, requires, or authorizes BHC franchisees to participate in.
Details regarding such contests and promotions will be set forth in the Operations Manual.
- (g) Franchisor determines the cost, form of media, content, format, production, timing (including regional or local concentration and seasonal exposure), location and all other matters relating to regional or system-wide advertising (including advertising paid from Marketing and Promotion Fee contributions), public relations and promotional campaigns.
- (h) Franchisee agrees to participate in all BHC promotions described in Franchisor's website and all Franchisor-authorized charitable fundraising and group discount programs.
Source: Item 18 — Public Figures (FDD page 49)
What This Means (2025 FDD)
According to Bhc's 2025 Franchise Disclosure Document, franchisees do not have a choice regarding participation in promotions arranged, required, or authorized by Bhc. Specifically, franchisees must participate fully in any gift card, customer loyalty, referral, and other contests and promotions that Bhc arranges, requires, or authorizes. Details regarding these contests and promotions will be outlined in the Operations Manual.
Bhc determines all aspects of regional or system-wide advertising, including cost, media, content, format, production, timing, and location. This includes advertising paid for from Marketing and Promotion Fee contributions, public relations, and promotional campaigns. Franchisees are also obligated to participate in all Bhc promotions described on Bhc's website and all franchisor-authorized charitable fundraising and group discount programs.
Item 18 states that Bhc does not currently pay or provide any benefit to any public figure to promote the sale of Bhc franchises. However, the franchise agreement grants Bhc the right to use the name, image, and likeness of the franchisee, their employees, and principal equity operators for commercial purposes related to marketing and promotion of the Bhc brand and products. This suggests that while franchisees may not have a say in participating in promotions featuring public figures (if Bhc chooses to use them in the future), they and their staff may be required to participate in Bhc's marketing and promotional activities.