What is a Carbones Pizzeria franchisee required to do if they close a bank account?
Carbones_Pizzeria Franchise · 2025 FDDAnswer from 2025 FDD Document
| Franchisee expressly agrees that this Authorization will apply to any and all | depositories and bank accounts that Franchisee opens during the term of the Agreement and any renewal terms. Without limiting | the above, Franchisee acknowledges and agrees that if Franchisee closes any bank account, Franchisee will: | 1) | immediately notify Franchisor in writing; | 2) | open or otherwise establish another bank account; | 3) | execute and deliver to Franchisor all documents necessary for Franchisor to begin and continue making | withdrawals from such bank account/depository by ACH debiting or other electronic means.
Source: Item 22 — CONTRACTS (FDD page 30)
What This Means (2025 FDD)
According to Carbones Pizzeria's 2025 Franchise Disclosure Document, a franchisee is obligated to take specific actions if they close a bank account used for payments to the franchisor. The franchisee must immediately notify Carbones Pizzeria in writing about the account closure.
In addition to providing written notification, the franchisee is required to open or establish a new bank account. This ensures that Carbones Pizzeria can continue to receive payments without interruption.
Furthermore, the franchisee must execute and deliver all necessary documents to Carbones Pizzeria. These documents enable the franchisor to begin and continue making withdrawals from the new bank account through ACH debiting or other electronic means. This ensures that Carbones Pizzeria has the proper authorization to access the new account for payment purposes.