What should a prospective Cilantro Taco Grill franchisee investigate regarding local regulations?
Cilantro_Taco_Grill Franchise · 2024 FDDAnswer from 2024 FDD Document
You must comply with all local, state and federal laws and regulations that apply to the operation of your Franchised Business, including, among others, business operations, insurance, discrimination, employment, health, sanitation and workplace safety laws. Your advertising of the Franchised Business is regulated by the Federal Trade Commission. There may be federal, state and local laws which affect your Franchised Business in addition to those listed here.
You should investigate whether there are any state or local regulations or requirements that may apply in the geographic area in which you intend to conduct business. You are responsible for obtaining all licenses and permits which may be required for your business.
With our approval, if permitted by applicable law, the Franchised Business may also offer beer and wine. You must comply with any federal, state, county, municipal, or other local laws and regulations relating to alcohol that may apply to your Franchised Business. You should consult with your attorney concerning those and other local laws and ordinances that may affect the operation of your Franchised Business. You must obtain any applicable real estate permits (such as zoning), real estate licenses, beer and wine licenses and operational licenses. You must secure and maintain the mandatory licenses and permits. There is a wide variation in state and local laws and regulations that govern the sale of alcoholic beverages. The difficulty and cost of obtaining a beer and wine license and the procedures for securing the license vary greatly from area to area. State operated Alcohol Beverage Control Agencies are one resource that can assist you with the different beer and wine licenses available in the state in which your Franchised Businessis located. In addition, state "dram shop" laws give rise to potential liability for injuries that are directly or indirectly related to the sale and consumption of alcohol.
Some state and local authorities have adopted, or are considering adopting, laws or regulations that could affect: the content or make-up of food served at your Cilantro Taco Grill outlet, such as the level of trans fat contained in a food item; general requirements or restrictions on advertising containing false or misleading claims, or health and nutrient claims on menus or otherwise, such as "low calorie" or "fat free"; and the posting of calorie and other nutritional information on menus.
Source: Item 1 — THE FRANCHISOR, AND ANY PARENTS, PREDECESSORS AND AFFILIATES (FDD pages 8–10)
What This Means (2024 FDD)
According to Cilantro Taco Grill's 2024 Franchise Disclosure Document, a prospective franchisee must investigate local, state, and federal laws and regulations applicable to their franchised business. These include laws related to business operations, insurance, discrimination, employment, health, sanitation, and workplace safety. Additionally, the advertising of the Cilantro Taco Grill franchise is regulated by the Federal Trade Commission. The FDD advises that there may be other federal, state, and local laws that could affect the franchise beyond those specifically listed.
It is the franchisee's responsibility to determine if any state or local regulations or requirements apply to the specific geographic area where they plan to operate their Cilantro Taco Grill. This includes obtaining all necessary licenses and permits required for the business. For example, if the franchisee intends to offer beer and wine, they must comply with all applicable federal, state, county, municipal, and local laws and regulations related to alcohol.
The FDD specifically mentions the need to consult with an attorney regarding local laws and ordinances that may impact the operation of the Cilantro Taco Grill franchise. This consultation should cover real estate permits (such as zoning), real estate licenses, and beer and wine licenses, as well as operational licenses. The document highlights the wide variation in state and local laws governing the sale of alcoholic beverages, noting that the difficulty and cost of obtaining a beer and wine license can vary significantly from area to area. State Alcohol Beverage Control Agencies are identified as a resource for understanding available beer and wine licenses.
Furthermore, franchisees should be aware of state "dram shop" laws, which can create potential liability for injuries directly or indirectly related to the sale and consumption of alcohol at their Cilantro Taco Grill location. The FDD also notes that some state and local authorities may have adopted or are considering laws or regulations that could affect the content or make-up of food served, advertising practices, and the posting of nutritional information on menus.