factual

Is there a minimum number of customer complaints that trigger a failure to properly service customers for Buildingstars franchisees?

Buildingstars Franchise · 2025 FDD

Answer from 2025 FDD Document

  • (6) Fails to properly service Customers in accordance with BUILDINGSTARS' standards and within the spirit and intent of this Agreement. (By way of illustration and not limitation, a failure to properly service Customers will occur if at least three customer complaints are made regarding the services rendered by the Business within any consecutive ninety day period because of dissatisfaction with services provided by the Business.)

Subject to applicable law and except as otherwise provided in this Agreement, BUILDINGSTARS will give the FRANCHISEE at least ninety (90) days prior written notice of termination, [unless a longer period of time is required or

Source: Item 22 — CONTRACTS (FDD page 43)

What This Means (2025 FDD)

According to Buildingstars's 2025 Franchise Disclosure Document, a Buildingstars franchisee may be terminated if they fail to properly service customers. A failure to properly service customers will occur if at least three customer complaints are made regarding the services rendered by the business within any consecutive 90-day period because of dissatisfaction with services provided by the Business.

If Buildingstars receives a complaint from a customer, Buildingstars will first offer the franchisee an opportunity to remedy the customer's complaint. If the franchisee remedies the complaint within a 24-hour period after Buildingstars is notified, Buildingstars will not charge the franchisee a Non-Performance Fee. However, if after the 24-hour period the customer's complaint is not adequately remedied, Buildingstars has the right, but not the obligation to remedy the complaint and charge the franchisee a Non-Performance Fee of $25 per hour per person needed to resolve the complaint, plus any other actual out-of-pocket expenses incurred. Buildingstars will withhold the Non-Performance Fee from the amount of billings Buildingstars collects for the franchisee.

Buildingstars also retains the right to discontinue allowing a franchisee to service a customer account at any time if Buildingstars, in its sole discretion, determines that the franchisee is not adequately servicing the customer account. Factors which Buildingstars considers include, but are not limited to the following: Customer complaints, unresponsiveness to Customer or Buildingstars, allegations by Customer of theft or breakage, lateness, or failure to complete the job in a professional manner. In such an event, Buildingstars does not have any obligation to replace said Customer Account with another.

Disclaimer: This information is extracted from the 2025 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.