What is the definition of 'suitable location' as it pertains to Section 6.1 of the Chocolate Bash agreement?

According to Chocolate Bash's 2024 Franchise Disclosure Document, Section 6.1 of the franchise agreement addresses how the location and territory are determined if they are not specified on the Summary Page. In such cases, the franchisee is responsible for finding a potential location within the designated Development Area and submitting it to Chocolate Bash for approval, along with any related information requested by Chocolate Bash. Chocolate Bash has 30 days to either accept or reject the proposed location in writing. Failure to respond within 30 days constitutes a rejection. If Chocolate Bash accepts the location, they will issue a Location Acceptance Letter (Attachment 2) that specifies both the location and the territory. The territory will be determined by Chocolate Bash in its good faith discretion, substantially in accordance with Item 12 of the Franchise Disclosure Document.

In simpler terms, if the specific location for the Chocolate Bash franchise isn't already agreed upon and written into the initial agreement, the franchisee has the first responsibility to find a suitable spot. However, this location isn't final until Chocolate Bash reviews the proposal and formally accepts it. This process ensures that all locations meet Chocolate Bash's standards and strategic goals. The franchisee needs to provide all necessary information about the proposed location to aid Chocolate Bash in making an informed decision.

This process is important for prospective franchisees because it outlines the steps to be taken when a location hasn't been pre-determined. It also highlights the franchisee's responsibility to find a location that meets Chocolate Bash's criteria, as well as Chocolate Bash's final approval over the location and territory. Franchisees should familiarize themselves with Item 12 of the Franchise Disclosure Document, as this is what Chocolate Bash uses to determine the territory.