What happens if Crisp & Green does not approve of a proposed site for a Crisp & Green Restaurant?
Crisp_Green Franchise · 2024 FDDAnswer from 2024 FDD Document
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, if Crisp & Green does not approve a proposed site for a Franchised Restaurant, the franchisee must continue to identify and submit new sites for approval until Crisp & Green approves one. Crisp & Green agrees to use reasonable efforts to approve or disapprove of the proposed site within thirty days after receiving the franchisee's written proposal. If Crisp & Green does not provide written notice of approval or disapproval within that 30-day period, the site is deemed disapproved.
The FDD states that the franchisee is responsible for selecting the site within the Preliminary Designated Area outlined in Exhibit B. While Crisp & Green will offer reasonable assistance in analyzing the market area and determining site feasibility, they will not conduct site selection activities directly for the franchisee. The franchisee is also responsible for any costs associated with using a broker to identify a location.
Crisp & Green's approval of a site does not constitute a guarantee or warranty of the site's suitability or potential success. The document emphasizes that factors like demographic changes or increased competition can impact a site's potential, and Crisp & Green is not liable if an approved site fails to meet the franchisee's expectations regarding revenue or operational criteria. The franchisee bears the responsibility for conducting their own independent investigation of the site's suitability.