Does Buildingstars have independent enforcement rights as a third-party beneficiary of the franchisee's employee agreement?
Buildingstars Franchise · 2025 FDDAnswer from 2025 FDD Document
FRANCHISEE is responsible for hiring and maintaining a staff of qualified and competent employees for its Business. FRANCHISEE is solely responsible for all its hiring decisions and for all obligations arising from FRANCHISEE's relationship with its employees, even if FRANCHISEE uses sample employment policies, procedures or examples that BUILDINGSTARS makes available for FRANCHISEE's optional use. The use of any sample document by FRANCHISEE is not required by this Agreement. All documents are provided "as is" and BUILDINGSTARS makes no warranty that the information and sample documents comply with applicable federal, state or local laws, regulations or ordinances where FRANCHISEE does business. The fact that BUILDINGSTARS has shared this information and these sample forms/information with FRANCHISEE is not intended to be, nor is it, a requirement by BUILDINGSTARS that FRANCHISEE must use this or a similar document or process in FRANCHISEE'S business. Further, providing sample documents is not intended to indicate in any way that BUILDINGSTARS has the right to require that any franchisee use this or a similar document or process in their franchised business, as BUILDINGSTARS does not have such rights to require use of these documents. BUILDINGSTARS's rights to require use of specific items relate only to maintenance of brand standards and trademark protection as required by federal law. If use is required to protect brand standards or BUILDINGSTARS's trademarks, such use will be identified as mandatory.
Source: Item 14 — PATENTS, COPYRIGHTS AND PROPRIETARY INFORMATION (FDD page 28)
What This Means (2025 FDD)
Based on the 2025 Buildingstars Franchise Disclosure Document, the franchisor's rights regarding franchisee employee agreements are limited. While Buildingstars provides sample employment policies and procedures for the franchisee's optional use, the franchisee is solely responsible for their hiring decisions and obligations to their employees.
Buildingstars does not require franchisees to use these sample documents, and the franchisor makes no warranty that these documents comply with applicable laws. The FDD states that providing these sample documents does not grant Buildingstars the right to require franchisees to use similar documents or processes.
Buildingstars' rights to require the use of specific items are limited to maintaining brand standards and trademark protection as required by federal law. If the use of specific items is required to protect brand standards or trademarks, it will be identified as mandatory. The FDD does not explicitly grant Buildingstars independent enforcement rights as a third-party beneficiary of the franchisee's employee agreements.