Can a Crisp & Green franchisee use the Franchised Restaurant for purposes other than operating a restaurant?
Crisp_Green Franchise · 2024 FDDAnswer from 2024 FDD Document
9.12 Catering and Delivery Services; Crisp & Go Location. Unless we specify otherwise in writing, Franchisee shall provide Catering Service and/or Delivery Service from the Franchised Restaurant in accordance with all applicable terms and conditions of this Agreement and the Operations Manual. Franchisee shall not establish another outlet or property (other than the Franchised Restaurant's Premises) for use in connection with Catering Service or Delivery Service, provided that, if Franchisee has been approved to operate a Crisp & Go Location, Franchisee may operate the Crisp & Go Location at the site within your Designated Area that we have approved in writing.
You may determine the geographic area within which you will offer Catering Service or Delivery Service, provided that (1) you must ensure that your customers receive at all times high quality food and beverage products prepared and maintained in accordance with our specifications, and (2) you do not send any direct mail advertisements for Catering Service or Delivery Service into the Designated Area of another Restaurant. However, you may accept a catering or delivery order from any location, even if it means that you are delivering or setting up the order in the Designated Area of another Restaurant. You must maintain the condition and appearance of, and perform maintenance with respect to vehicles, servewear and equipment used in connection with the provision of Catering Services and/or Delivery Services in accordance with our standards, specifications and procedures, and consistent with the image of CRISP & GREEN as first class, clean sanitary, attractive and efficiently-operated food service businesses. You must ensure that
all catering and delivery drivers strictly comply with all applicable laws and maintain adequate motor vehicle liability insurance in the amounts that we periodically specify.
If you fail to comply with any provision of this Agreement pertaining to Catering Service or Delivery Service, then in addition to any other rights and remedies that we might have (inducing the right to terminate this Agreement pursuant to Section 14 below, if applicable), we may temporarily suspend or permanently terminate your right to provide Catering Service and/or Delivery Service or restrict the geographic area within which you may provide Catering Service and/or Delivery Service.
Source: Item 23 — RECEIPTS (FDD pages 66–252)
What This Means (2024 FDD)
According to the 2024 Crisp & Green Franchise Disclosure Document, franchisees are generally expected to use their Franchised Restaurant for the primary purpose of operating a Crisp & Green restaurant. However, there are some exceptions related to catering and delivery services. Unless Crisp & Green specifies otherwise in writing, a franchisee must provide catering and delivery services from the Franchised Restaurant, adhering to the agreement and operations manual.
A Crisp & Green franchisee cannot establish another outlet or property (other than the Franchised Restaurant's premises) for use in connection with catering or delivery services, unless they have been approved to operate a 'Crisp & Go' location. If approved, the franchisee can operate the Crisp & Go location at a site within their designated area that Crisp & Green has approved in writing.
The franchisee can determine the geographic area for catering and delivery services, provided they maintain high-quality food and beverage products according to Crisp & Green's specifications and do not send direct mail advertisements into another restaurant's designated area. However, they can accept catering or delivery orders from any location, even if it means delivering to another restaurant's designated area. Franchisees must also maintain the condition and appearance of vehicles and equipment used for catering and delivery services, consistent with Crisp & Green's standards.
Failure to comply with the agreement's provisions regarding catering and delivery services may result in Crisp & Green temporarily suspending or permanently terminating the franchisee's right to provide these services, or restricting the geographic area in which they can be offered. This is in addition to any other rights and remedies Crisp & Green may have, including the right to terminate the franchise agreement.