Does the Del Taco franchise agreement require a 'Statement of Ownership Interests' to be completed?

According to the 2025 Del Taco Franchise Disclosure Document, the franchise agreement requires disclosure of ownership interests. Specifically, all owners and their ownership interests must be identified in Exhibit D of the agreement. Any changes in ownership must be reported to Del Taco in advance and in writing, and Exhibit D must be updated to reflect these changes. This applies to any person with a direct or indirect interest in the franchisee or any entity with an ownership interest in the franchisee.

This requirement ensures that Del Taco is aware of who controls and benefits from the franchise. It allows Del Taco to assess the qualifications and suitability of the owners, as they have granted the franchise in reliance on the business skill, financial capacity, and personal character of the franchisee and its owners. This also enables Del Taco to monitor compliance with the franchise agreement and other relevant regulations.

For a prospective Del Taco franchisee, this means that you must be prepared to disclose all individuals or entities with an ownership stake in your franchise. Any changes to this ownership structure must be communicated to Del Taco promptly and accurately. Failure to comply with these requirements could potentially lead to a breach of the franchise agreement and possible termination of the franchise.