What is the Bhc Master Franchisee's obligation to notify the Franchisor if any representations and warranties in section 16.12 become untrue?
Bhc Franchise · 2025 FDDAnswer from 2025 FDD Document
(g) Master Franchisee must notify Franchisor in writing within 10 business days after Master Franchisee receives actual notice of the commencement of any investigation, action, suit, or other proceeding, or the issuance of any order, writ, injunction, award, or other decree of any court, agency, or other governmental authority that pertains to the BHC Restaurant or the Franchised Business, or that may adversely affect Master Franchisee's operations at the BHC Restaurant or Master Franchisee's ability to meet its obligations under this Agreement.
(h) If anything occurs at the BHC Restaurant or in the Development Area that causes or may cause harm or injury to retail customers or Master Franchisee's employees, Subfranchisees, or that may damage the System, Marks, or image or reputation of the Franchised Business or Franchisor or Franchisor's affiliates, Master Franchisee must immediately inform Franchisor's designated contact person by telephone, e-mail, text, or other electronic messaging medium authorized by Franchisor for this purpose.
Source: Item 23 — Receipts (FDD pages 52–230)
What This Means (2025 FDD)
I am unable to provide information about the Master Franchisee's obligation to notify the Franchisor if any representations and warranties in section 16.12 become untrue, as this information is not present within the provided excerpts from Bhc's 2025 Franchise Disclosure Document. The excerpts do contain information regarding Master Franchisee's obligation to notify the Franchisor in writing within 10 business days after Master Franchisee receives actual notice of the commencement of any investigation, action, suit, or other proceeding, or the issuance of any order, writ, injunction, award, or other decree of any court, agency, or other governmental authority that pertains to the BHC Restaurant or the Franchised Business, or that may adversely affect Master Franchisee's operations at the BHC Restaurant or Master Franchisee's ability to meet its obligations under this Agreement. Also, the Master Franchisee must immediately inform Franchisor's designated contact person by telephone, e-mail, text, or other electronic messaging medium authorized by Franchisor for this purpose if anything occurs at the BHC Restaurant or in the Development Area that causes or may cause harm or injury to retail customers or Master Franchisee's employees, Subfranchisees, or that may damage the System, Marks, or image or reputation of the Franchised Business or Franchisor or Franchisor's affiliates.
To fully understand the obligations, a prospective franchisee should ask Bhc's franchisor to provide a copy of section 16.12 and clarify the specific requirements for notifying the franchisor if any representations and warranties become untrue. This information is crucial for understanding the ongoing legal and contractual responsibilities of the Master Franchisee.