How is the 'Location' of a Chocolate Bash franchise determined?
Chocolate_Bash Franchise · 2024 FDDAnswer from 2024 FDD Document
- "Location" means the location stated on the Summary Page.
If no location is stated on the Summary Page, then the Location will be determined in accordance with Section 6.1.
ARTICLE 6. LOCATION, DEVELOPMENT, AND OPENING
6.1 Determining Location and Territory. If the Location and Territory are not stated on the Summary Page:
(i) Franchisee shall find a potential Location within the Development Area described on the Summary Page Franchisee shall submit its proposed Location to CB Franchising for acceptance, with all related information CB Franchising may request.
If CB Franchising does not accept the proposed Location in writing within 30 days, then it is deemed rejected.
- (ii) When CB Franchising accepts the Location, it shall issue a Location Acceptance Letter in the form of Attachment 2 which states the Location and Territory.
CB Franchising shall determine the Territory in its good faith discretion, substantially in accordance with Item 12 of the Franchise Disclosure Document.
Source: Item 22 — CONTRACTS (FDD pages 38–39)
What This Means (2024 FDD)
According to Chocolate Bash's 2024 Franchise Disclosure Document, the franchise location is initially determined by what is stated on the Summary Page of the Franchise Agreement. If the specific location isn't listed on the Summary Page when the agreement is signed, then the location will be determined according to Section 6.1 of the agreement.
Per Section 6.1, the franchisee is responsible for finding a potential location within the Development Area outlined on the Summary Page. The franchisee must then submit this proposed location to Chocolate Bash for approval, including any related information the franchisor requests. Chocolate Bash has 30 days to either accept or reject the proposed location in writing. Failure to respond within 30 days is considered a rejection.
Once Chocolate Bash accepts a location, they will issue a Location Acceptance Letter, as shown in Attachment 2 of the Franchise Agreement. This letter officially states both the Location and the Territory granted to the franchisee. Chocolate Bash determines the Territory in its good faith discretion, substantially in accordance with Item 12 of the Franchise Disclosure Document.