Is Bhc obligated to assist Master Franchisee in the site selection process for the Bhc Restaurant?
Bhc Franchise · 2025 FDDAnswer from 2025 FDD Document
- (c) Franchisor may, but is not obligated to, assist Master Franchisee in the site selection process.
However, Franchisor reserves the sole right of final review and consent to any location of the Franchised BHC Restaurant.
Franchisor uses available demographic information to evaluate the site and the area in which it is located, and analyze area income figures, traffic patterns, visibility, population density, competition, zoning, parking, accessibility, and other related, relevant circumstances.
Franchisor's final review and consent to the location of the Franchised BHC Restaurant is not a guarantee that a BHC business can be successfully operated there or anywhere else.
Source: Item 23 — Receipts (FDD pages 52–230)
What This Means (2025 FDD)
According to Bhc's 2025 Franchise Disclosure Document, Bhc is not obligated to assist the Master Franchisee in the site selection process. While Bhc may offer assistance, it is explicitly stated that they are not required to do so. However, Bhc retains the sole right of final review and consent for any proposed location of the Franchised Bhc Restaurant.
Bhc uses available demographic information to evaluate potential sites, analyzing factors such as area income, traffic patterns, visibility, population density, competition, zoning, parking, accessibility, and other relevant circumstances. Despite this review process, Bhc's consent to a location does not guarantee the success of the Bhc business at that site or any other.
The Master Franchisee is responsible for locating and securing suitable premises that meet Bhc's standards and specifications within four months of the agreement's effective date. The Master Franchisee must submit site information to Bhc for review, and reimburse Bhc for all costs associated with the site review. Bhc will either accept or reject the proposed site. If Bhc does not approve a site within 30 days of complete submission (or 15 days after supplemental information), the site is deemed rejected, and the Master Franchisee must propose an alternative location. If a suitable site is not found within four months, Bhc may cancel the agreement.