What document will Chocolate Fish Franchising issue when a location is accepted?
Chocolate_Fish_Coffee Franchise · 2024 FDDAnswer from 2024 FDD Document
- (ii) When Chocolate Fish Franchising accepts the Location, it will issue a Location Acceptance Letter in the form of Attachment 2 which states the Location and Territory. Chocolate Fish Franchising shall determine the Territory in its good faith discretion, substantially in accordance with Item 12 of the Franchise Disclosure Document. If Chocolate Fish Franchising fails to state the Territory in writing within 60 days after Franchisee opens the Business to the public, the Territory will be deemed to be the zip code which includes the location of the franchised business and those zip codes which immediately surround the location of the franchised business and together comprise a total of 40,000 population.
Source: Item 23 — RECEIPTS (FDD pages 41–119)
What This Means (2024 FDD)
According to Chocolate Fish Coffee's 2024 Franchise Disclosure Document, when Chocolate Fish Franchising accepts a proposed location, they will issue a Location Acceptance Letter. This letter, as stated in Section 6.1 of the Franchise Agreement, formally acknowledges the acceptance of the location. The Location Acceptance Letter will also state the Territory granted to the franchisee. If Chocolate Fish Franchising fails to state the Territory in writing within 60 days after the franchisee opens the Business to the public, the Territory will be deemed to be the zip code which includes the location of the franchised business and those zip codes which immediately surround the location of the franchised business and together comprise a total of 40,000 population.
The Location Acceptance Letter is crucial because it defines the physical location and territory where the franchisee is authorized to operate their Chocolate Fish Coffee business. The territory is determined by Chocolate Fish Franchising in its good faith discretion, substantially in accordance with Item 12 of the Franchise Disclosure Document.
Attachment 2 of the Franchise Agreement is the form for the Location Acceptance Letter. The letter includes fields for the location of the business, the territory of the business, and signature lines for Chocolate Fish Franchising, including name, title, and date.