What right does Chatime retain regarding architects and other design and construction professionals?
Chatime Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisor, its Affiliates, consultants, and agents have the right to inspect the Outlet and the construction work from time to time during the course of construction to verify the progress of construction and Franchisee's compliance with the terms of this Agreement.
Source: Item 23 — Receipts (FDD pages 58–262)
What This Means (2025 FDD)
According to Chatime's 2025 Franchise Disclosure Document, Chatime, its affiliates, consultants, and agents have the right to inspect the Outlet and the construction work from time to time during the course of construction. This allows them to verify the progress of construction and the franchisee's compliance with the terms of the Franchise Agreement.
This means that Chatime retains the right to oversee the construction and design of the franchise location. This oversight ensures that the franchisee adheres to Chatime's standards and specifications during the construction phase.
For a prospective franchisee, this implies that Chatime has the authority to monitor the construction process and ensure compliance with the franchise agreement. While the FDD excerpt specifies Chatime's right to inspect construction, it does not explicitly state whether Chatime has the right to select or approve the architects, contractors, or other design and construction professionals involved in building the franchise location. A prospective franchisee should seek clarification from Chatime regarding their role in selecting or approving these professionals.