Can Bhc recommend retail prices for products?
Bhc Franchise · 2025 FDDAnswer from 2025 FDD Document
To enhance uniformity in the delivery of goods and services to retail customers by Franchisor's Master Franchisees and the strength of Franchisor's Marks in inter-brand competition, and subject to applicable federal and state antitrust laws, Franchisor may recommend retail prices for specific BHC Products and other products and services Franchisor authorize for sale at a BHC Restaurant.
If Franchisor does so, Master Franchisee may not, and ensure that Subfranchisees do not, advertise or promote (whether by telephone, printed materials, or any other media, including social media) retail prices that are inconsistent with these recommended prices.
Also, to the extent permitted by federal and state law applicable to the BHC Restaurant, Franchisor may designate maximum and minimum retail prices to be charged for BHC Products.
Source: Item 23 — Receipts (FDD pages 52–230)
What This Means (2025 FDD)
According to Bhc's 2025 Franchise Disclosure Document, Bhc may recommend retail prices for specific Bhc products and other products and services authorized for sale at a Bhc Restaurant. However, this is subject to applicable federal and state antitrust laws. If Bhc does provide recommended prices, franchisees must not advertise or promote retail prices that are inconsistent with these recommendations, whether through telephone, printed materials, or any other media, including social media.
Furthermore, to the extent permitted by federal and state law, Bhc may designate maximum and minimum retail prices for Bhc products. This means that Bhc can set a price range within which franchisees must operate, ensuring price consistency and protecting the brand's image. Franchisees need to be aware of these potential pricing restrictions and ensure their pricing strategies comply with Bhc's recommendations and any applicable laws.
This policy aims to enhance uniformity in the delivery of goods and services to retail customers and strengthen Bhc's brand in inter-brand competition. By setting recommended or designated prices, Bhc seeks to maintain a consistent customer experience across all franchise locations. Franchisees should stay informed of any pricing updates or changes from Bhc to avoid non-compliance and potential penalties.