Can Chop5 Salad Kitchen require access to inspect a non-approved supplier's facility?
Chop5_Salad_Kitchen Franchise · 2024 FDDAnswer from 2024 FDD Document
t to our evaluation but cannot be described in writing.
If you wish to purchase or lease a source-restricted item from a non-approved supplier, you must send us a written request for approval and submit all additional information we request. We may require that you send us samples from the supplier for testing. We may also require that we be allowed to inspect the supplier's facility.
We will use best efforts to notify you of our decision within 45 days after we receive your request for approval and all additional information and samples we require. If we fail to issue our written approval within the 45-day period, we are deemed to have disapproved the proposed supplier. We may periodically re-inspect the facilities and products of an approved supplier and revoke our approval if the supplier fails to meet our then-current criteria. You must reimburse us for all costs we incur to review products and suppliers you propose.
Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 20–23)
What This Means (2024 FDD)
According to Chop5 Salad Kitchen's 2024 Franchise Disclosure Document, if a franchisee wishes to purchase source-restricted items from a supplier not already approved by Chop5 Salad Kitchen, the company may require access to inspect that supplier's facility. The franchisee must submit a written request for approval, along with any additional information Chop5 Salad Kitchen requests, which may include samples for testing.
Chop5 Salad Kitchen will then evaluate the supplier based on criteria such as quality, delivery, performance, design, appearance, price, dependability, reputation, and financial viability. While objective specifications will be provided upon request, subjective criteria like product appearance, taste, design, and functionality are also considered but cannot be described in writing. Chop5 Salad Kitchen aims to notify the franchisee of their decision within 45 days of receiving the request, information, and samples. Failure to provide written approval within this period is considered a disapproval.
Chop5 Salad Kitchen may also periodically re-inspect approved suppliers and revoke approval if they no longer meet the company's criteria. The franchisee is responsible for reimbursing Chop5 Salad Kitchen for all costs incurred during the review of proposed products and suppliers. This policy ensures that all suppliers meet Chop5 Salad Kitchen's standards, but it also places the financial burden of supplier approval on the franchisee.