Under the Carls Development Agreement, what equipment and related services must a Developer purchase to receive communications regarding supplements or amendments to the Development Guide?
Carls Franchise · 2024 FDDAnswer from 2024 FDD Document
CJR will loan to Developer for the Development Term one copy of, or provide electronic access to, the Development Guide. The Development Guide contains mandatory specifications and standards relating to construction of Franchised Restaurants and information relating to Developer's other obligations under this Agreement. Developer agrees to comply fully with these obligations and mandatory specifications. The Development Guide may be supplemented or amended from time to time by letter, email, bulletin, construction standards manuals, videotapes, audio tapes, CDs, DVDs, software or other communications concerning the Carl's Jr. System to reflect changes in the image, specifications and standards relating to the development and construction of a Carl's Jr. Restaurant. Supplements or amendments to the Development Guide also may contain, among other matters, minimum standards and requirements for constructing, equipping and furnishing a Carl's Jr. Restaurant. CJR reserves the right to furnish all or part of the Development Guide to Developer in electronic form or online (including by Intranet) and establish terms of use for access to any restricted portion of CJR's web site. Developer shall keep its copy of the Development Guide current and up-to-date with all additions and deletions provided by CJR and shall purchase whatever equipment and related services (including, without limitation, a DVD player, computer system, Internet service, dedicated phone line, facsimile machine, etc.) as may be
CJR TR Development Agreement – 5/24 Franchisee (Alpha Code) DMA/Area of Development – Number of Restaurants
necessary to receive these communications. If a dispute relating to the contents of the Development Guide develops, the master copy maintained by CJR at its principal offices shall control.
Source: Item 23 — RECEIPTS (FDD pages 80–480)
What This Means (2024 FDD)
According to the 2024 FDD, Carls requires its Developers to purchase specific equipment and services to stay informed about updates to the Development Guide. The Development Guide contains mandatory specifications and standards for constructing franchised restaurants, along with other obligations under the Development Agreement. To receive supplements or amendments to this guide, which may be communicated through various means such as letters, emails, bulletins, manuals, or electronic media, Developers must acquire the necessary equipment and services.
This equipment and services include, but are not limited to, a DVD player, a computer system, Internet service, a dedicated phone line, and a facsimile machine. Carls reserves the right to provide the Development Guide in electronic form, potentially requiring access to their website or intranet.
The requirement ensures that developers can access and implement the latest standards for Carl's Jr. restaurants. It is the developer's responsibility to maintain an up-to-date copy of the Development Guide with all provided additions and deletions. In case of any disputes regarding the Development Guide's content, the master copy maintained by Carls at its principal offices will be the controlling reference.