Does Brueggers Bagels have an obligation to approve a specific supplier proposed by a franchisee?
Brueggers_Bagels Franchise · 2025 FDDAnswer from 2025 FDD Document
If we require you to use an approved supplier or distributor for a particular item, but you wish to purchase the item from a source that we have not approved, you may submit a written request for approval of the supplier or distributor, unless it is an item for which we have designated a specific vendor. We will furnish a copy of the relevant standards and specifications to the proposed supplier, provided that the proposed supplier signs a confidentiality agreement. To obtain approval, proposed suppliers must demonstrate the ability to meet our standards and must possess adequate quality controls and capacity to supply your needs promptly and reliably. However, we have no obligation to approve any specific supplier or any minimum number of suppliers for any item, and any proposed supplier relationship must not jeopardize the availability of any special pricing or other benefits offered by existing suppliers based on system-wide purchases. We may require you to pay a fee to cover our costs of reviewing a proposed supplier, which you must pay whether or not we approve the supplier. We may require that the proposed supplier allow our representatives to inspect the supplier's facilities.
We generally will give you written notice of approval or disapproval of the proposed supplier within 90 days after receiving your request and completion of evaluation and testing, if required. You may not sell or offer for sale any products or services of the proposed supplier until you receive our written approval.
Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 25–29)
What This Means (2025 FDD)
According to Brueggers Bagels's 2025 Franchise Disclosure Document, Brueggers Bagels has no obligation to approve any specific supplier proposed by a franchisee. However, if a franchisee wishes to purchase items from a supplier that is not already approved, they may submit a written request for approval, provided the item is not one for which Brueggers Bagels has designated a specific vendor.
To initiate the approval process, Brueggers Bagels will furnish a copy of the relevant standards and specifications to the proposed supplier, contingent upon the supplier signing a confidentiality agreement. The proposed supplier must demonstrate the ability to meet Brueggers Bagels's standards, possess adequate quality controls, and have the capacity to supply the franchisee's needs promptly and reliably.
Brueggers Bagels generally provides written notice of approval or disapproval within 90 days after receiving the request and completing any required evaluation and testing. The franchisee cannot sell or offer for sale any products or services from the proposed supplier until written approval is received. Brueggers Bagels may require the franchisee to pay a fee to cover the costs of reviewing the proposed supplier, regardless of whether the supplier is ultimately approved, and may also require the supplier to allow inspections of their facilities.