What does Creative World School require franchisees to do if they have disputes with trade suppliers?
Creative_World_School Franchise · 2025 FDDAnswer from 2025 FDD Document
If you want to propose a new supplier of Operating Assets (other than us or our affiliates), you agree to submit to us sufficient written information about the proposed new supplier to enable us to approve or reject either the supplier or the particular items.
We will have at least 90 days from receipt of the information to approve or reject the proposed new supplier or items.
We may change, alter or amend such approval or review periods from time to time.
We may consider in providing such approval not just the quality standards of the products or services, but their delivery capabilities, financing terms and ability to service our franchise
system as a whole. We may terminate or withhold approval of any Operating Assets, or any supplier of such items, that does not meet our quality standards by giving you written notice. If we do so, you agree to immediately stop purchasing from such supplier or using such Operating Assets in your School until we notify you that such supplier or such Operating Assets meet our quality standards. At our request, you agree to submit to us sufficient information about a proposed supplier and samples of the proposed Operating Assets for our examination so that we can determine whether they meet our quality standards. We also must have the right to require our representatives to be permitted to inspect the proposed supplier's facilities at your expense. Notwithstanding the foregoing, we may limit the number of approved suppliers with whom you may deal, designate sources that you must use, and/or refuse any of your requests for any reason, including that we have already designated an exclusive source (which might be us or our affiliate) for a particular item or service or if we believe that doing so is in the best interests of the CREATIVE WORLD SCHOOL® system.
Source: Item 23 — RECEIPTS (FDD pages 80–247)
What This Means (2025 FDD)
The 2025 Creative World School Franchise Disclosure Document outlines the process for franchisees to propose new suppliers of Operating Assets. If a franchisee wants to propose a new supplier (other than Creative World School or its affiliates), they must submit sufficient written information about the proposed supplier to allow Creative World School to evaluate and either approve or reject the supplier or the specific items.
Creative World School has a review period of at least 90 days from receiving the information to make a decision. The franchisor may consider the quality standards, delivery capabilities, financing terms, and the supplier's ability to service the entire franchise system when making its decision.
Creative World School retains the right to terminate or withhold approval of any Operating Assets or suppliers that do not meet their quality standards, providing written notice to the franchisee. In such cases, the franchisee must immediately stop purchasing from the supplier or using the Operating Assets in their school until Creative World School provides notification that the supplier or assets meet their standards. Creative World School may also request information about a proposed supplier and samples of Operating Assets for examination, and has the right to inspect the supplier's facilities at the franchisee's expense. Creative World School can limit the number of approved suppliers, designate mandatory sources, or refuse requests if they have an exclusive source or believe it's in the best interest of the Creative World School system.