To what provisions of the Franchise Agreement are catering sales subject for a Big Apple Bagels franchisee?
Big_Apple_Bagels Franchise · 2025 FDDAnswer from 2025 FDD Document
This Catering Program must be operated in strict conformance with provisions of the Franchise Agreement and the Operations Manual.
All catering sales will be subject to Paragraph 8.b. and 10.a. of the Franchise Agreement (pertaining to the royalty fees and Marketing Fund contributions).
Franchisee acknowledges and agrees that any breach of any provision of this Addendum shall be deemed a breach of the Franchise Agreement, conferring upon Franchisor the remedies set forth in the Franchise Agreement.
Source: Item 22 — CONTRACTS (FDD pages 86–87)
What This Means (2025 FDD)
According to the 2025 Big Apple Bagels Franchise Disclosure Document, catering sales are subject to specific provisions within the Franchise Agreement. Specifically, all catering sales will be subject to Paragraphs 8.b. and 10.a. of the Franchise Agreement. These paragraphs pertain to royalty fees and Marketing Fund contributions.
This means that a Big Apple Bagels franchisee engaging in catering services must adhere to the terms outlined in these paragraphs regarding the payment of royalty fees on catering sales and contributions to the Marketing Fund. It is important for prospective franchisees to carefully review these sections of the Franchise Agreement to understand their financial obligations related to catering activities.
Furthermore, any breach of the Catering Program Addendum is considered a breach of the Franchise Agreement itself, which could lead to remedies outlined in the Franchise Agreement being enforced by Big Apple Bagels. Therefore, franchisees should ensure they fully comply with all aspects of the Catering Program Addendum to avoid potential penalties or termination of their franchise agreement.