factual

Can C3 Wellness Spa inspect a potential supplier's facilities?

C3_Wellness_Spa Franchise · 2024 FDD

Answer from 2024 FDD Document

If you want to purchase or lease a source restricted item from a supplier that has not been previously approved or designated by us in writing, you must send us a written request for approval and submit additional information that we may request. We may charge you a fee equal to the costs and expenses that we incur in reviewing and/or evaluating an alternate supplier, product, and/or service requested by you. We may request that you send us samples from the supplier for testing and documentation from the supplier for evaluation. We may also require, subject to our discretion, that we be allowed to inspect the supplier's facilities. We will notify you of our approval or disapproval within a reasonable time, not to exceed 60 days after we receive your written request for approval and all additional information and samples that we may request. We may, in our discretion, withhold our approval. We do not make our procedures or criteria for approving suppliers available to our System franchisees, except that when evaluating the approval of a particular supplier, among other things, we consider: whether the supplier can demonstrate to our reasonable satisfaction the ability to meet our standards, specifications and production requirements, the suppliers quality control, whether or not we are the exclusive supplier of the particular item, whether or not our affiliate or affiliates are the exclusive supplier of the particular item, and whether or not the suppliers approval, in our sole determination, will allow us to advance the overall interests of the System. If we have previously approved a supplier, and their standards fall below our designated standards, we will revoke our approval. We will notify you in writing of us revoking our approval.

Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 25–29)

What This Means (2024 FDD)

According to C3 Wellness Spa's 2024 Franchise Disclosure Document, if a franchisee wants to use a supplier not already approved by C3 Wellness Spa, the company may request to inspect the supplier's facilities. The franchisee must submit a written request for approval, along with any additional information C3 Wellness Spa requires. C3 Wellness Spa may also ask for samples from the supplier for testing and documentation for evaluation.

C3 Wellness Spa has the discretion to decide whether to allow an inspection of the supplier's facilities. C3 Wellness Spa will notify the franchisee of its decision (approval or disapproval) within a reasonable time, but no more than 60 days after receiving the written request, information, and samples. However, C3 Wellness Spa retains the right to withhold approval at its discretion.

When evaluating a supplier, C3 Wellness Spa considers factors such as the supplier's ability to meet the company's standards, specifications, and production requirements, as well as the supplier's quality control measures. C3 Wellness Spa also considers whether it or its affiliates are the exclusive supplier of the item and whether approving the supplier will advance the overall interests of the C3 Wellness Spa system. If a previously approved supplier's standards fall below C3 Wellness Spa's designated standards, the company will revoke its approval and notify the franchisee in writing.

Disclaimer: This information is extracted from the 2024 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.