What is the Cicis franchisee's financial responsibility when the franchisor directs changes to the Marks?
Cicis Franchise · 2025 FDDAnswer from 2025 FDD Document
You understand the importance of maintaining uniformity among all of the Cicis Restaurants and the importance of complying with all of our standards, specifications, policies, and procedures relating to the operation of your Restaurant and, therefore, agree to comply with all System Standards as they exist from time to time.
Though we retain the right to establish and periodically modify System Standards, you retain the right and sole responsibility for the day-to-day management and operation of your Restaurant and the implementation and maintenance of System Standards at your Restaurant.
System Standards may regulate any aspect of the operation and maintenance of your Restaurant, including, but not limited to, any one or more of the following:
(1) sales, marketing, advertising and promotional programs and materials and media used in these programs;
(2) staffing levels for your Restaurant and employee qualifications, dress, and appearance (although employee selection and promotion, hours worked, rates of pay and other benefits, work assigned and working conditions are your sole responsibility);
(3) use and display of the Marks;
(4) days and hours of operation;
(5) methods of payment that your Restaurant may accept from customers;
(6) policies for the registration, use, content, or management of online presences, or other technology systems, solutions, or products;
(7) participation in market research and product and service testing programs;
(8) participation in gift card programs;
(9) menus, including product offerings, appearance, and inclusion of nutrition information;
(10) bookkeeping, accounting, data processing and record keeping systems and forms; formats, content and frequency of reports to us of sales, revenue, and financial performance and condition;
(11) participation in quality assurance and customer satisfaction programs;
(12) use of any third-party food delivery services, online ordering services, or other food aggregation services;
(13) types, amounts, terms and conditions of insurance coverage required for your Restaurant, including criteria for your insurance carriers; and
(14) any other aspects of operating and maintaining your Restaurant that we determine to be useful to preserve or enhance the efficient operation, image or goodwill of the Marks and Cicis Restaurants.
Source: Item 22 — CONTRACTS (FDD pages 64–65)
What This Means (2025 FDD)
According to the 2025 Cicis Franchise Agreement, franchisees are responsible for complying with all system standards, including those related to the Marks. System Standards may regulate any aspect of the operation and maintenance of your Restaurant, including the use and display of the Marks. While Cicis retains the right to modify these standards, the franchisee is responsible for the day-to-day management, operation, implementation, and maintenance of these standards at their restaurant.
This means that if Cicis directs changes to the Marks, such as logos, signage, or décor, the franchisee is responsible for implementing those changes at their own expense. This could involve costs related to new signage, interior or exterior decor, and other related items. Franchisees cannot make changes to the design, equipment, signs, interior or exterior decor items, fixtures, or furnishings without prior written approval from Cicis.
It is important for prospective Cicis franchisees to understand that these costs can be significant and should be factored into their financial planning. Franchisees should inquire about the frequency and potential costs of these changes during their due diligence process. Understanding the scope of these potential expenses is crucial for assessing the overall financial viability of the franchise.
While the Franchise Agreement stipulates that franchisees must comply with changes to the Marks, it does not explicitly detail the extent of financial responsibility. Therefore, prospective franchisees should seek clarification from Cicis regarding the typical costs associated with updates to the Marks and any available financial assistance or programs to offset these expenses.