Can Craters & Freighters inspect the premises of a franchisee without prior written notice?
Craters_Freighters Franchise · 2025 FDDAnswer from 2025 FDD Document
To determine whether Franchisee and the Franchised Business are complying with this Agreement and, more specifically, all System Standards, Franchisor, any Affiliate of Franchisor, or any designee of Franchisee has the right at any reasonable time, and without prior notice to Franchisee, to: (1) inspect and photograph the Premises, and (2) interview personnel and customers of the Franchised Business.
Franchisee agrees to cooperate fully with Franchisor in connection with any such inspections and interviews, including but not limited to using any evaluation forms and surveys prescribed by Franchisor.
Source: Item 22 — CONTRACTS (FDD pages 49–50)
What This Means (2025 FDD)
According to Craters & Freighters' 2025 Franchise Disclosure Document, Craters & Freighters, its affiliates, or its designees, have the right to inspect the premises of a franchised business without providing prior notice to the franchisee. These inspections can occur at any reasonable time to determine if the franchisee is complying with the franchise agreement and the System Standards.
During these inspections, Craters & Freighters has the right to inspect and photograph the premises, as well as interview personnel and customers of the franchised business. Franchisees are required to fully cooperate with Craters & Freighters during these inspections, including using any evaluation forms and surveys that Craters & Freighters prescribes.
This lack of notice provides Craters & Freighters with the ability to assess real-time compliance with their standards and address any issues promptly. For a prospective franchisee, this means they should always be prepared for an inspection and maintain consistent adherence to the System Standards to avoid any potential issues or breaches of the franchise agreement.