Does Carls require franchisees to submit local advertising and promotional materials for approval if purchased from a source other than CJR or its affiliates?
Carls Franchise · 2024 FDDAnswer from 2024 FDD Document
Local advertising and promotion materials may be purchased from any CJR-approved source. If purchased from a source other than CJR or its affiliates, these materials must comply with federal and local laws and regulations and with the guidelines for advertising and promotions promulgated from time to time by CJR or its designee and must be submitted to CJR or its designee at least 30 days prior to first use for approval, which CJR may grant or withhold in its sole discretion. In no event may your advertising contain any statement or material which, in the sole discretion of CJR, may be considered: (1) in bad taste or offensive to the public or to any group of persons; (2) defamatory of any person or an attack on any competitor; (3) to infringe upon the use, without permission, of any other persons' trade name, trademark, service mark or identification; or (4) inconsistent with the public image of CJR or the System.
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, franchisees must submit local advertising and promotional materials for approval if they are purchased from a source other than CJR or its affiliates. These materials must adhere to federal and local laws, regulations, and Carls's advertising and promotion guidelines.
Specifically, franchisees are required to submit these materials to CJR or its designee at least 30 days before their first use. Carls retains the right to approve or reject these materials at its discretion. This requirement ensures that all advertising aligns with Carls's brand standards and public image.
Carls also specifies certain types of content that are prohibited in advertising materials, including anything considered to be in bad taste, offensive, defamatory, infringing on others' trademarks, or inconsistent with Carls's public image. This approval process allows Carls to maintain control over its brand reputation and ensure consistent messaging across all franchise locations.
This requirement is fairly standard in franchising, as franchisors typically want to ensure brand consistency and protect their image. Franchisees should factor in this 30-day lead time when planning local advertising campaigns and be prepared to make revisions based on Carls's feedback.