What is the franchisee's responsibility regarding site selection for a Crisp & Green Restaurant?
Crisp_Green Franchise · 2024 FDDAnswer from 2024 FDD Document
You will be solely responsible for identifying, submitting for our approval, and securing specific sites for each Franchised Restaurant.
In consideration of our acceptance of the Premises, you and your Principal Owners release us, and our Affiliates, managers, officers, directors, governors, employees and agents from any and all loss, damage and liability arising from or in connection with the selection and/or acceptance of the Premises for development as a Restaurant.
3.02 Selection of Premises. If we have approved a location for the Franchised Restaurant before or concurrently with the execution of this Agreement, the Premises will be set forth on Exhibit B. If we and you have not agreed upon an approved location for the Franchised Restaurant before signing this Agreement, then you are responsible for selecting the site for the Franchised Restaurant within the Preliminary Designated Area set forth on Exhibit B. You agree to obtain our written approval of the Franchised Restaurant's proposed site before signing any lease, sublease, purchase contract or other document for the site (the "site acquisition documents").
You must locate and submit for our approval a site acceptable to us within the Preliminary Designated Area for the Franchised Restaurant. We will use reasonable efforts to help analyze your market area, to help determine site feasibility, and to assist in designating the location, although we will not conduct site selection activities for you. If you utilize a broker to identify a location, you will be responsible for any costs associated therewith. We will not unreasonably withhold our approval of a site that meets our criteria for demographic characteristics; traffic patterns; parking; character of neighborhood; competition from, proximity to, and nature of other businesses; other commercial characteristics; and the proposed site's size, appearance, and other physical characteristics.
You agree to send us a description of the proposed site, including a summary of the items listed above, along with a letter of intent or other evidence confirming your favorable prospects for purchase or lease of the proposed site. We will use reasonable efforts to approve or disapprove the proposed site within thirty (30) days after receiving your written proposal. If we do not approve of a proposed site, you must identify and notify us of new sites until we approve a site for the Franchised Restaurant. Upon our approval of a site, you agree that we will insert its address into Exhibit B, and it will be the Premises. The failure to insert such address into in Exhibit B shall not automatically affect the enforceability of this Agreement.
Source: Item 23 — RECEIPTS (FDD pages 66–252)
What This Means (2024 FDD)
According to Crisp & Green's 2024 Franchise Disclosure Document, the franchisee is primarily responsible for site selection. Specifically, the franchisee must identify and secure a location for the Crisp & Green restaurant, and then submit it for the franchisor's approval. This responsibility falls on the franchisee for each restaurant to be developed within their designated area. The franchisee must get written approval from Crisp & Green before signing any documents to acquire the site, such as a lease or purchase contract.
While Crisp & Green offers assistance in analyzing the market area and determining site feasibility, they do not conduct site selection activities directly for the franchisee. If the franchisee chooses to use a broker to find a location, they are responsible for those costs. Crisp & Green states they will not unreasonably withhold approval of a site that meets their criteria. These criteria include demographic characteristics, traffic patterns, parking, neighborhood character, competition, proximity to other businesses, and the site's physical characteristics.
The franchisee must provide a description of the proposed site, including a summary of the items listed above, along with a letter of intent or other evidence confirming favorable prospects for purchase or lease of the proposed site. Crisp & Green will then use reasonable efforts to approve or disapprove the proposed site within 30 days of receiving the written proposal. If a proposed site is not approved, the franchisee is responsible for identifying and submitting new sites until one is approved by Crisp & Green. Once a site is approved, its address will be added to Exhibit B of the Franchise Agreement, designating it as the Premises.