What is the Carbones Pizzeria franchisee's obligation regarding the location of the Restaurant?
Carbones_Pizzeria Franchise · 2025 FDDAnswer from 2025 FDD Document
the receipt and sufficiency of which is acknowledged by each party, the parties agree as follows:
1. Grant of Franchise.
- a. Franchisor grants Franchisee a Franchise to use the Carbone System to develop and operate a restaurant selling pizza and other food items under the Names and Marks during the term of this Agreement.
- b. The location of the restaurant to be operated under this Agreement is set forth on the Rider (the "Restaurant") to this Agreement, and such address shall not be changed without the prior written approval of Franchisor.
2. Term and Renewal.
- a. The initial term of this Agreement shall be for a period of ten (10) years, commencing on the date of this Agreement, unless sooner terminated as provided in this Agreement.
Source: Item 23 — RECEIPTS (FDD pages 30–116)
What This Means (2025 FDD)
According to the 2025 Carbones Pizzeria Franchise Disclosure Document, the location of the restaurant must be specified in the Rider to the Franchise Agreement, and the franchisee cannot change this location without the prior written approval of Carbones Pizzeria. The franchisee must secure the approved location within 120 days of signing the Franchise Agreement.
Carbones Pizzeria requires the franchisee to operate the Restaurant from the location approved by the franchisor. The franchisee is obligated to operate the restaurant on a full-time basis. If the franchisee is not involved in the operation on a full-time basis, they must appoint an operations manager to be involved full-time.
These stipulations are typical in franchising, as the location and consistent operation of each outlet are crucial for maintaining brand standards and customer expectations. The franchisor's approval rights over location changes allow them to control market saturation and protect other franchisees' territories. The 120-day requirement to secure the location ensures that franchisees move forward promptly with establishing their business after signing the agreement.