Is Cordova a fiduciary of the Brand Development Fund?

According to the 2025 Cordova FDD, Cordova is not a fiduciary or trustee of the Brand Development Fund. Cordova may control and administer the Brand Development Fund, which franchisees contribute to via a monthly sum not to exceed 2% of their monthly Gross Sales.

Cordova is allowed to use the Brand Development Fund for a variety of purposes including market studies, research, service and product development, testing, advertising and public relations, creating marketing materials, covering agency fees and administrative costs, and purchasing media. Cordova and its affiliate-owned businesses may contribute to the fund, but are not required to do so.

The Brand Development Fund is required to maintain unaudited financial records detailing its expenditures, and Cordova will make available to franchisees (no more than once per 12-month period) an unaudited accounting of how the monies contributed to the Brand Development Fund were spent each year. The Brand Development Fund will not be used to directly promote a franchisee's Cordova Business or its marketing area. Cordova may use the fund to develop and test media and technologies to improve Cordova Businesses' operations and marketing, but franchisees may or may not benefit from these developments.