What is the condition for Del Taco's approval of preliminary plans and specifications submitted by the Del Taco franchisee?
Del_Taco Franchise · 2025 FDDAnswer from 2025 FDD Document
Restaurant has not been obtained by Franchisee and approved by Del Taco, one hundred eighty (180) days from the later of (i) Del Taco's approval of the location for the Restaurant pursuant to the Site Selection Addendum, or (ii) Franchisee's access to the leased premises as permitted by the lessor under the lease.
- 5.2 Pre-Opening Obligations. Before commencing any construction of the Restaurant, Franchisee, at its expense, shall comply, to Del Taco's satisfaction, with all of the following requirements:
- 5.2.1 Franchisee shall employ a qualified, licensed architect or engineer who is acceptable to Del Taco to prepare, for Del Taco's approval, preliminary plans and specifications for site improvement and construction of the Restaurant based upon the site construction package furnished by Del Taco or its designee pursuant to Section 4.1, and as may otherwise be authorized by Del Taco due to the particularities of the site of the proposed location. Del Taco's approval shall be limited to conformance with Del Taco's standard image specifications and layout and shall not relate to Franchisee's obligations with respect to any federal, state and local laws, codes and regulations including the applicable provisions of the ADA regarding the construction, design and operation of the Restaurant, which subjects shall be Franchisee's sole responsibility. If Del Taco or its affiliates provide site development services to Franchisee, Franchisee will be required to pay Del Taco a site
Source: Item 22 — CONTRACTS (FDD pages 58–59)
What This Means (2025 FDD)
According to Del Taco's 2025 Franchise Disclosure Document, before starting any construction, a franchisee must meet specific requirements to Del Taco's satisfaction. The franchisee must hire a qualified, licensed architect or engineer acceptable to Del Taco to prepare preliminary plans and specifications for site improvement and restaurant construction. These plans must be based on the site construction package provided by Del Taco.
Del Taco's approval of these preliminary plans is specifically limited to ensuring they conform to Del Taco's standard image specifications and layout. Del Taco's approval does not extend to the franchisee's obligations regarding federal, state, and local laws, codes, and regulations, including ADA compliance, which remain the franchisee's sole responsibility. The franchisee is also responsible for a site development fee of up to $50,000 for site development services performed by Del Taco or its affiliates, in addition to their out-of-pocket and internal overhead costs. This fee is non-refundable and must be paid before the services are rendered.
In practice, this means a Del Taco franchisee needs to ensure their architect or engineer is not only qualified and licensed but also acceptable to Del Taco. The franchisee will bear the cost of adapting Del Taco's standard construction package to the specific site, and they must ensure the plans comply with all applicable laws and regulations, independent of Del Taco's review for image and layout. The franchisee also needs to budget for the potential $50,000 site development fee if they utilize Del Taco's site development services.