Can a City Wide franchisee adjust the Minimum Total Revenue Retention Requirement?
City_Wide Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee may adjust the Minimum Total Revenue Retention Requirement upon a 30-day prior written notice to Franchisee based upon the increase in the Consumer Price Index as currently measured by the Index as defined below, but not to exceed 3%.
For purposes of this section, "Index" shall mean (i) the increase in the Consumer Price Index for all Urban Consumers, U.S.
City Average (1982-84 = 100) published by the Bureau of Labor Statistics of the United States Department of Labor.
When the rate is increased, CITY WIDE will notify you and the increase will appear in the Manual.
Source: Item 22 — CONTRACTS (FDD page 65)
What This Means (2025 FDD)
According to City Wide's 2025 Franchise Disclosure Document, a franchisee can adjust the Minimum Total Revenue Retention Requirement. The franchisee may adjust this requirement with a 30-day prior written notice to City Wide based on the increase in the Consumer Price Index.
The Consumer Price Index used for this adjustment is the one for all Urban Consumers, U.S. City Average (1982-84 = 100), published by the Bureau of Labor Statistics of the United States Department of Labor. However, the adjustment cannot exceed 3%.
City Wide will notify the franchisee when the rate is increased, and the increase will be documented in the manual. The initial Minimum Total Revenue Retention Requirement is 77.5% for any rolling 24-month period, as determined by City Wide.