What is the Buona franchisee's obligation regarding obsolete signs for the Franchised Business?
Buona Franchise · 2025 FDDAnswer from 2025 FDD Document
(a) Franchisee shall maintain, at all times during the Term, at Franchisee's expense, the premises of the Franchised Business and all fixtures, furnishings, signs, systems and equipment, in conformity with Franchisor's high standards and public image and to make such additions, alterations, improvements, repairs, and replacements (but no others, without Franchisor's prior written consent) as may be required by Franchisor from time to time, including but not limited to the following, at Franchisee's sole cost and expense:
i.
To keep the Franchised Business in the highest degree of cleanliness, sanitation and repair, including but not limited to such periodic repainting, repairs or replacement of damaged or obsolete, furniture, fixtures and equipment, and replacement of obsolete signs, as Franchisor may reasonably direct;
Source: Item 22 — CONTRACTS (FDD page 78)
What This Means (2025 FDD)
According to Buona's 2025 Franchise Disclosure Document, the franchisee is responsible for maintaining the premises, including signs, to meet Buona's standards. This maintenance is at the franchisee's expense throughout the term of the agreement. Specifically, the franchisee must replace obsolete signs as Buona directs.
This obligation ensures that all Buona locations maintain a consistent and up-to-date brand image. The franchisee is responsible for the costs associated with replacing these signs, which can impact their operating expenses. The franchisor's directive must be reasonable, but the final decision rests with Buona.
In addition to general maintenance, Buona may require a full renovation of the franchised business, including signs, to meet current design standards. However, the franchisee is only required to conduct such a renovation once during the term, and not if there is less than one year remaining in the term. This renovation encompasses various aspects, such as building design, equipment, and decor, ensuring the franchise aligns with Buona's current brand image.