Is a Cilantro Taco Grill franchisee required to participate in an online ordering program?
Cilantro_Taco_Grill Franchise · 2024 FDDAnswer from 2024 FDD Document
- 12.3.6 Franchisor has established a website that provides information about the System and the products and services offered by the Cilantro Taco Grill System (the "Website").
Franchisor has sole discretion and control over the Website.
Franchisor shall include a listing on its Website with Franchisee's Franchised Business location.
Franchisee has no ownership or other proprietary rights to Franchisor's website and Franchisee will lose all rights to such listing of Franchisee's location upon expiration or termination of this Agreement for any reason.
12.3.7 Franchisee shall pay all fees, whether to Franchisor or to third party vendor(s), and expenses for technology required by this Agreement, including but not limited to, the costs of computer software, hardware and peripherals, audio equipment and music programs and/or playlists, installation costs and regularly recurring fees for software and digital menu displays, Internet access, license fees, help desk fees, and licensing or user-based fees.
12.3.8 Franchisee is solely responsible for maintaining the security and integrity of the computer and payment processing systems used in the Franchised Business and the customer and other data stored therein.
Source: Item 23 — RECEIPT (FDD pages 52–208)
What This Means (2024 FDD)
Based on the 2024 Franchise Disclosure Document, the Cilantro Taco Grill franchisor has established a website that provides information about the system, and the franchisor has sole discretion and control over the website. The franchisor will include a listing on its website with the franchisee's franchised business location. However, the FDD does not explicitly state that a franchisee is required to participate in an online ordering program.
The franchisee is responsible for paying all fees and expenses for technology required by the agreement. This includes costs for computer software, hardware, peripherals, audio equipment, music programs, installation costs, recurring fees for software and digital menu displays, internet access, license fees, help desk fees, and licensing or user-based fees. The franchisee is also responsible for maintaining the security and integrity of the computer and payment processing systems used in the franchised business.
While the FDD mentions the franchisor's website and the franchisee's technology responsibilities, it does not specify whether online ordering is mandatory. A prospective franchisee should clarify with Cilantro Taco Grill whether participation in an online ordering program is required, and if so, what the associated costs and obligations would be.