What kind of site-selection assistance does Costa Vida Fresh Mexican Grill furnish to franchisees?
Costa_Vida_Fresh_Mexican_Grill Franchise · 2025 FDDAnswer from 2025 FDD Document
A hereof, your rights hereunder shall be non-exclusive. You waive, to the fullest extent permitted under law, all claims, demands or causes of action arising from or related to any of the foregoing activities by us or any of our Affiliates.
3. DEVELOPMENT AND OPENING OF YOUR RESTAURANT.
A. SITE SELECTION.
We will furnish you with our standard site-selection criteria and assistance for Costa Vida Restaurants, as we periodically may establish and modify. You may also at times, and at our discretion, be required to utilize the services of an Approved Supplier, to assist you in ascertaining the most viable site for your Costa Vida Restaurant. We may also provide such on-site evaluation of sites proposed pursuant hereto as we deem necessary or appropriate. If we deem it necessary to provide an on-site evaluation of a proposed site, you must coordinate and arrange for the visit by our representative, agent or Approved Supplier and may, in extraordinary circumstances, be required to pay the related travel expenses. These expenses may include airline and other transportation costs, meals, lodging and salaries.
You must lease, sublease or purchase the Premises within 120 days after signing the Agreement, unless otherwise set forth in the Site Selection Addendum attached hereto as Exhibit G. We must approve the terms of any lease, sublease or purchase contract for the Premises, and you must deliver a copy to us for our approval before you sign it. You agree that any lease or sublease for the Premises must, in form and substance, be satisfactory to us and must include all of the provisions set forth on Exhibit D hereto or substantially similar provisions. You may not sign a lease, sublease or purchase contract or any modification thereof without our written approval. Our approval of the Premises is based upon, and made in reliance of, information you furnish and representations you make to us (all of which we assume you have carefully and fully considered in proposing the Premises to us) with respect to the size, appearance and other physical characteristics of the Premises, photographs of the Premises, and demographic characteristics, traffic patterns, competition from other businesses in the area and other commercial characteristics (including the purchase price, rental obligations, and other lease terms). You should reference the Brand Standards Book then in effect, as your location must be able to comply with the specifications that it lays out. Our approval of the Premises, lease, sublease, or purchase contract, and any information communicated to you regarding the Premises do not constitute an express or implied representation
or warranty of any kind, including, but not limited to, the fairness of such lease, sublease or purchase contract, the suitability of the Premises for a Costa Vida Restaurant, or your ability to comply with the terms of the lease or for any other purpose. Our approval of the Premises, lease, sublease or purchase contract indicates only that we believe that the Premises falls within our criteria as of the time period encompassing the evaluation. We do not, by virtue of approving the Premises, lease, sublease or purchase contract, assume any liability or responsibility to you or to any third parties. You acknowledge that you have the sole responsibility for obtaining the advice of your own professional advisors before you lease, sublease, or purchase the Premises.
Source: Item 22 — CONTRACTS (FDD pages 66–67)
What This Means (2025 FDD)
According to Costa Vida Fresh Mexican Grill's 2025 Franchise Disclosure Document, the company offers franchisees standard site-selection criteria and assistance, which may be modified periodically. Costa Vida Fresh Mexican Grill may require franchisees to use an Approved Supplier to help identify viable locations. They may also provide on-site evaluations of proposed sites as deemed necessary. The franchisee is responsible for coordinating and arranging the on-site visit and may be required to cover travel expenses, including transportation, meals, lodging, and salaries.
To initiate the site approval process, franchisees must submit a complete Site Approval Package with demographic information, traffic patterns, details on nearby food establishments (including other Costa Vida Restaurants), and the site's physical characteristics. Costa Vida Fresh Mexican Grill will then approve or reject the site, communicating their decision through a standard Site Approval Letter within 30 days of receiving the complete package. The company considers factors such as location, demographics, traffic, visibility, and the site's physical condition when making their decision.
The FDD emphasizes that Costa Vida Fresh Mexican Grill's site approval does not constitute a warranty regarding the site's suitability. The franchisee is ultimately responsible for independently investigating the site's suitability for a Costa Vida Fresh Mexican Grill restaurant. The franchisee agrees to release Costa Vida Fresh Mexican Grill from any liability related to the site selection and approval process.