What is the deadline for Carls to advise a franchisee in writing whether they have accepted a particular site?
Carls Franchise · 2024 FDDAnswer from 2024 FDD Document
We will advise you in writing within 30 days after receipt of all documents that we require whether we have accepted a particular site; however, we have no obligation to review any development proposal if you or your affiliates are not in full compliance with all agreements with us or our affiliates. If we do not respond within that time period, we will be deemed not to have accepted the site. (Development Agreement, § 5.D.)
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 41–54)
What This Means (2024 FDD)
According to Carls's 2024 Franchise Disclosure Document, Carls will advise a franchisee in writing whether they have accepted a particular site within 30 days after receiving all required documents. However, Carls has no obligation to review any development proposal if the franchisee or their affiliates are not in full compliance with all agreements with Carls or its affiliates.
If Carls does not respond within the 30-day period, the site will be deemed not to have been accepted. This means that if a prospective franchisee doesn't hear back from Carls within the specified timeframe, they should consider the site rejected and move on to other potential locations.
This clause protects Carls from expending resources on proposals from franchisees who are not in good standing or who have outstanding obligations. It also sets a clear expectation for franchisees regarding the timeframe for site approval, allowing them to plan accordingly. Franchisees should ensure they submit all required documentation promptly and maintain compliance with all agreements to facilitate a timely review of their proposed sites.