Who bears the expense for inspections and testing of a proposed Bonchon supplier's facilities and samples?
Bonchon Franchise · 2025 FDDAnswer from 2025 FDD Document
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Nothing in the foregoing shall be deemed to require us to approve any particular supplier or to require us to make available to prospective suppliers any standards, specifications, procedures or protocols that we, in our business judgment, deem confidential.
We reserve the right to test, analyze, inspect or randomly sample the product, service or equipment of any supplier you propose at your expense, whether or not we ultimately approve or reject the supplier. We will give you written notice of our approval or disapproval of your proposed supplier within 90 days. If we test the product or service, the cost to you of testing will range from $1,000 to $2,500, depending on the nature and complexity of the testing necessary for the product or service. If we revoke approval of the supplier, we will give you written notice.
We, our affiliate or our designee may be an approved source of supply for any non-proprietary product, service or equipment that you are required to purchase. However, you will be under no obligation to purchase any non-proprietary products, services or equipment from us, our affiliate or our designee.
Source: Item 23 — RECEIPTS (FDD pages 92–536)
What This Means (2025 FDD)
According to Bonchon's 2025 Franchise Disclosure Document, the franchisee bears the expense for the inspection and testing of a proposed supplier's facilities and samples. Bonchon reserves the right to test, analyze, inspect, or sample the products, services, or equipment from any supplier the franchisee proposes. This is done at the franchisee's expense, regardless of whether Bonchon ultimately approves or rejects the supplier.
The cost to the franchisee for testing a product or service ranges from $1,000 to $2,500, depending on the nature and complexity of the required testing. Bonchon will provide written notice of their approval or disapproval of the proposed supplier within 90 days. If Bonchon revokes approval of a supplier, they will also provide written notice.
Bonchon also has the right to remove samples from the franchisee's business inventory or restaurant for testing, with or without notice, to ensure compliance with current standards and specifications. The franchisee may be required to bear the costs of such testing if the supplier has not been previously approved or if the sample fails to meet Bonchon's specifications. This ensures that franchisees maintain the quality and standards of products used in their Bonchon restaurants, even when sourcing from alternative suppliers.