Under what conditions will a Buona franchisee be charged a $1,000 fee for each day their restaurant is not open?
Buona Franchise · 2025 FDDAnswer from 2025 FDD Document
ents set forth in Section 12; and (iv) always having adequate staffing and a trained manager on the premises of the Franchised Business as required in Section 10.6.
The imposition of this fee does not limit Franchisor from any other remedies available to it under this Agreement or under applicable law.
- f. Failure to Keep Restaurant Open During Hours Required. Franchisee shall pay Franchisor a fee of One Thousand Dollars ($1,000) for each and every day, beginning with the first day up through and including the day the default is cured, that Franchisee's Franchised Business fails to be open for business for all the days and hours that are required, pursuant to Section 10.2(g). The hours include the time of opening and closing for business. This fee shall not apply in the event that Fran
Source: Item 22 — CONTRACTS (FDD page 78)
What This Means (2025 FDD)
According to Buona's 2025 Franchise Disclosure Document, a franchisee will be charged a fee of $1,000 for each day their restaurant fails to open during the required days and hours of operation. This fee starts from the first day of non-compliance and continues until the issue is resolved.
This daily fee is designed to ensure that Buona restaurants maintain consistent operating hours, as outlined in Section 10.2(g) of the franchise agreement. However, the fee will not be applied if the franchisee obtains prior written consent from Buona to close the restaurant for specific days or hours. The franchisee must submit a request to Buona that includes the specific dates and hours for the closure.
This policy underscores the importance of adhering to the agreed-upon operating hours and the need for clear communication with Buona regarding any planned closures. It also highlights the potential financial consequences of failing to maintain the required operating schedule without prior authorization.