factual

Does Clustertruck Kitchen have the right to receive information directly from the franchisee's suppliers?

Clustertruck_Kitchen Franchise · 2025 FDD

Answer from 2025 FDD Document

You agree that we may receive information directly from suppliers and you authorize your suppliers to provide information directly to us. You agree to sign separate authorizations or additional documents requested by suppliers or that we deem necessary for us to obtain information directly from suppliers.

Source: Item 22 — CONTRACTS (FDD page 72)

What This Means (2025 FDD)

According to Clustertruck Kitchen's 2025 Franchise Disclosure Document, Clustertruck Kitchen has the right to receive information directly from its franchisees' suppliers. The franchisee agrees that Clustertruck Kitchen may receive information directly from the suppliers and also agrees to authorize their suppliers to provide information directly to Clustertruck Kitchen.

To facilitate this process, the franchisee must sign separate authorizations or additional documents requested by suppliers or that Clustertruck Kitchen deems necessary to obtain information directly from suppliers. This requirement ensures that Clustertruck Kitchen can effectively monitor and manage the supply chain, maintain quality control, and potentially negotiate better terms with suppliers based on aggregated data from all franchise locations.

This provision is fairly common in franchising, as it allows the franchisor to maintain oversight of the supply chain and ensure brand consistency. However, it places an obligation on the franchisee to comply with any requests for authorizations or documentation needed to enable direct communication between the suppliers and Clustertruck Kitchen. A prospective franchisee should be aware of this requirement and be prepared to fulfill these obligations to maintain compliance with the franchise agreement.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.