factual

During what hours can Chocolate Fish Franchising conduct inspections of a Chocolate Fish Coffee business?

Chocolate_Fish_Coffee Franchise · 2024 FDD

Answer from 2024 FDD Document

  • 11.2 Inspections. Chocolate Fish Franchising may enter the premises of the Business from time to time during normal business hours and conduct an inspection. Franchisee shall cooperate with Chocolate Fish Franchising's inspectors. The inspection may include, but is not limited to, observing operations, conducting a physical inventory, evaluating physical conditions, monitoring sales activity, speaking with employees and customers, and removing samples of products, supplies and materials. Chocolate Fish Franchising may videotape and/or take photographs of the inspection and the Business. Chocolate Fish Franchising may set a minimum score requirement for inspections, and Franchisee's failure to meet or exceed the minimum score will be a default under this Agreement. Without limiting Chocolate Fish Franchising's other rights under this Agreement, Franchisee will, as soon as reasonably practical, correct any deficiencies noted during an inspection. If Chocolate Fish Franchising conducts an inspection because of a governmental report, customer complaint or other customer feedback, or a default or non-compliance with any System Standard by Franchisee (including following up a previous failed inspection), then Chocolate Fish Franchising may charge all out-of-pocket expenses plus its then-current inspection fee to Franchisee.

Source: Item 23 — RECEIPTS (FDD pages 41–119)

What This Means (2024 FDD)

According to Chocolate Fish Coffee's 2024 Franchise Disclosure Document, Chocolate Fish Franchising has the right to inspect a franchisee's business premises. Specifically, Chocolate Fish Franchising can conduct these inspections during normal business hours.

These inspections may involve observing the Chocolate Fish Coffee business's operations, conducting a physical inventory, assessing the physical condition of the premises, monitoring sales activities, speaking with employees and customers, and taking samples of products, supplies, and materials. Chocolate Fish Franchising also reserves the right to videotape or take photographs during the inspection.

Chocolate Fish Franchising may also set a minimum score requirement for inspections, and failure to meet this score can result in a default under the Franchise Agreement. Franchisees are expected to promptly correct any deficiencies identified during an inspection. If an inspection is triggered by a governmental report, customer complaint, or the franchisee's non-compliance with System Standards, Chocolate Fish Franchising may charge the franchisee for out-of-pocket expenses and an inspection fee.

Disclaimer: This information is extracted from the 2024 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.