Under what circumstances does Buona have the right to require a franchisee to close their Franchised Business?
Buona Franchise · 2025 FDDAnswer from 2025 FDD Document
- (a) Food Borne Illness and other Public Health or Safety Issues**.** Franchisor has the right to require Franchisee to close its Franchised Business if Franchisor determines that Franchisee's Franchised Business has deficiencies relating to food safety and cleanliness or other public health and safety issues.
Franchisee may not reopen the Franchised Business until Franchisor has re-inspected the Franchised Business and determined that it meets Franchisor's standards.
In the event of an outbreak of a food borne illness, or any other public health or safety issue that potentially could negatively impact Franchisor's Marks and Brands, Franchisee must immediately notify Franchisor of such event, but no later than the next day following the occurrence.
Further, Franchisee is strictly prohibited from speaking or communicating with the media in the event of an outbreak of a food borne illness or any other public health or safety issue, whether at Franchisee's Franchised Business or at any other Franchised Business.
Source: Item 22 — CONTRACTS (FDD page 78)
What This Means (2025 FDD)
According to Buona's 2025 Franchise Disclosure Document, Buona has the right to mandate the closure of a franchised business if it determines that the location has deficiencies related to food safety, cleanliness, or other public health and safety issues.
A Buona franchisee may not reopen their location until Buona has re-inspected the premises and confirmed that it meets the brand's standards. In the event of a foodborne illness outbreak or any other public health or safety issue that could negatively impact Buona's brand, the franchisee must immediately notify Buona, no later than the day following the occurrence.
Furthermore, the franchisee is strictly prohibited from communicating with the media if there is a foodborne illness outbreak or any other public health or safety issue, whether it occurs at their location or at any other Buona location. This restriction underscores the importance of maintaining brand reputation and consistent messaging in crisis situations.
This clause highlights the critical importance Buona places on maintaining high standards of safety and cleanliness across all its franchise locations, and ensures Buona can act swiftly to protect its brand and customers in the event of a public health risk.