When is the Reporting Non-Compliance fee due for a Cordova franchise?
Cordova Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Fee (Note 1) | Amount | Due Date | |
|---|---|---|---|
| Reporting Non-Compliance | $150 per occurrence | 14 days of invoice | Payable for failure to timely submit Royalty and Activity Reports, and other reports and financial statements as required under Franchise Agreement. |
Source: Item 6 — OTHER FEES (FDD pages 11–15)
What This Means (2025 FDD)
According to Cordova's 2025 Franchise Disclosure Document, the Reporting Non-Compliance fee is due 14 days after the invoice date. This fee amounts to $150 per occurrence and is charged if a franchisee fails to submit Royalty and Activity Reports, along with other required reports and financial statements, on time as stipulated in the Franchise Agreement.
This means that if a Cordova franchisee is late in submitting the required reports, they will receive an invoice for $150. They then have a strict two-week window to pay this fee. Failing to do so could lead to additional penalties, such as interest on the overdue amount, as outlined elsewhere in the FDD.
It is important for prospective Cordova franchisees to understand the reporting requirements and ensure timely submission of all necessary documents to avoid incurring this fee. Franchisees should establish internal controls and reminders to comply with the reporting deadlines set by Cordova. This proactive approach will help maintain a good standing with the franchisor and avoid unnecessary expenses.