What is the Chocolate Fish Coffee franchisee's obligation regarding remodeling plans?
Chocolate_Fish_Coffee Franchise · 2024 FDDAnswer from 2024 FDD Document
not less than the term of this Agreement, and (iii) Franchisee shall use commercially reasonable efforts to obtain the landlord's signature to a rider to the lease in the form required by Chocolate Fish Franchising.
- 6.3 Development. Franchisee shall construct (or remodel) and finish the Location in conformity with Chocolate Fish Franchising's System Standards. If required by Chocolate Fish Franchising, Franchisee shall engage the services of an architect licensed in the jurisdiction of the Location. Franchisee shall not begin any construction or remodeling work without first obtaining Chocolate Fish Franchising's approval of Franchisee's plans. Chocolate Fish Franchising may, but is not required to, inspect Franchisee's construction or remodeling progress at any reasonable time. Franchisee shall not rely upon any information provided or opinions expressed by Chocolate Fish Franchising or its representatives regarding any architectural, engineering, or legal matters (including without limitation the Americans With Disabilities Act) in the development and construction of the Business, and Chocolate Fish Franchising assumes no liability with respect thereto. Chocolate Fish Franchising's inspection and/or approval to open the Business is not a representation or a warranty that the Business has been constructed in accordance with any architectural, engineering, or legal standards.
- 6.4 New Franchisee Training. Franchisee's Principal Executive and one additional general manager must complete Chocolate Fish Franchising's training program for new franchisees to Chocolate Fish Franchising's satisfaction at least four weeks before opening the Business.
- 6.5 Conditions to Opening. Franchisee shall notify Chocolate Fish Franchising at least 30 days before Franchisee intends to open the Business to the public.
Source: Item 23 — RECEIPTS (FDD pages 41–119)
What This Means (2024 FDD)
According to Chocolate Fish Coffee's 2024 Franchise Disclosure Document, franchisees may be required to remodel their location to meet the franchisor's standards. The franchisee may need to submit remodeling plans for Chocolate Fish Coffee's approval before starting any work. This ensures that the remodel aligns with the brand's image and operational standards. Franchisees must complete the remodel within the timeframe specified by Chocolate Fish Coffee.
However, Chocolate Fish Coffee limits the frequency of required remodels. A remodel will not be required during the first two or last two years of the franchise term, with an exception for remodels required as a condition for renewal or transfer. Additionally, remodels will not be required more than once every five years from the completion date of the previous remodel. This provides some predictability and limits the financial burden on franchisees.
Prior to commencing any construction or remodeling work, the Chocolate Fish Coffee franchisee is obligated to obtain the franchisor's approval of their plans. During the initial construction or remodeling of the location, the franchisee must adhere to Chocolate Fish Coffee's System Standards. If required, the franchisee must engage a licensed architect in the location's jurisdiction. While Chocolate Fish Coffee may inspect the construction or remodeling progress, the franchisee cannot rely on any information or opinions from Chocolate Fish Coffee regarding architectural, engineering, or legal matters.