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What happens if a Bombs Away franchisee fails to resolve customer complaints promptly?

Bombs_Away Franchise · 2024 FDD

Answer from 2024 FDD Document

used in the Business, by any means designated by Bombs Away Franchising.

  • 7.8 Customer Complaints. Franchisee shall use its best efforts to promptly resolve any customer complaints. Bombs Away Franchising may take any action it deems appropriate to resolve a customer complaint regarding the Business, and Bombs Away Franchising may require Franchisee to reimburse Bombs Away Franchising for any expenses.
  • 7.9 Evaluation and Compliance Programs. Franchisee shall participate at its own expense in programs required from time to time by Bombs Away Franchising for obtaining customer evaluations, reviewing Franchisee's compliance with the System, and/or managing customer complaints, which may include (but are not limited to) a customer feedback system, customer survey programs, and mystery shopping. Bombs Away Franchising shall share with Franchisee the results of these programs, as they pertain to the Business. Franchisee must meet or exceed any minimum score requirements set by Bombs Away Franchising for such programs. Bombs Away Franchising may set minimum scores that Franchisee must receive from the public on internet review sites (such as Yelp or Google).
  • 7.10 Payment Systems. Franchisee shall accept payment from customers in any form or manner designated by Bombs Away Franchising (which may include, for example, cash, specific credit and/or debit cards, gift cards, electronic fund transfer systems, and mobile payment systems). Franchisee shall purchase or lease all equipment and enter into all business relationships necessary to accept payments as required by Bombs Away Franchising. Franchisee must at all times comply with payment card industry data security standards (PCI-DSS).

Source: Item 22 — CONTRACTS (FDD pages 35–36)

What This Means (2024 FDD)

According to Bombs Away's 2024 Franchise Disclosure Document, if a franchisee fails to resolve customer complaints, Bombs Away Franchising has the authority to take action to resolve the complaint themselves. The franchisee may then be required to reimburse Bombs Away for any expenses incurred in resolving the complaint. This highlights the importance Bombs Away places on customer satisfaction and brand reputation.

Bombs Away also requires franchisees to participate in programs designed to evaluate customer feedback and compliance with the Bombs Away system. These programs may include customer feedback systems, customer survey programs, and mystery shopping. Bombs Away will share the results of these programs with the franchisee, and the franchisee must meet or exceed any minimum score requirements set by Bombs Away for these programs, including scores on internet review sites like Yelp or Google.

Furthermore, Bombs Away retains the right to conduct business evaluations, which may be triggered by customer complaints. If an evaluation is conducted due to a customer complaint, Bombs Away may charge the franchisee for all out-of-pocket expenses plus an evaluation fee. Bombs Away also has the right to cure any default on behalf of the franchisee and charge the franchisee for costs, expenses, and an additional 10% administrative fee. These measures emphasize the franchisor's commitment to maintaining service standards and addressing customer concerns promptly and effectively across all franchise locations.

Disclaimer: This information is extracted from the 2024 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.