Which item(s) in the Del Taco Disclosure Document relate to renewal?
Del_Taco Franchise · 2025 FDDAnswer from 2025 FDD Document
| Obligation | Section in Franchise Agreement (FA) or Development Agreement (DA) | Item(s) in Disclosure Document |
|---|---|---|
| q. Owner’s participation, | FA – 5.4, 5.6 and 5.27 | 11 and 15 |
| management and staffing | DA – 12 | |
| r. Records and reports | FA – 7 and 7.6 DA – Not Applicable | Not Applicable |
| s. Inspections and audits | FA – 5.14, 7.1 and 7.4 DA – Not Applicable | 6 |
| t. Transfers | FA – 12 DA – 12 and 16 | 6 and 17 |
| u. Renewal | FA – 2 DA – None | 6, 11 and 17 |
| v. Post-termination obligations | FA – 14 DA – 15 | 17 |
| w. Non-competition covenants | FA – 10 DA – 17 | 17 |
| x. Dispute resolution | FA – 17 DA – 18 | 17 |
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS AND TRAINING (FDD pages 31–38)
What This Means (2025 FDD)
According to Del Taco's 2025 Franchise Disclosure Document, Item 6, Item 11, and Item 17 contain information regarding franchise renewal. Specifically, a table within Item 11 cross-references the obligation of renewal to 'FA – 2' in the Franchise Agreement and 'None' in the Development Agreement. This table also indicates that Items 6, 11, and 17 in the Disclosure Document provide further details about renewal.
For a prospective Del Taco franchisee, this means that understanding the renewal terms requires careful review of these specific sections within both the Franchise Agreement and the Disclosure Document. The absence of a Development Agreement reference suggests that renewal terms are primarily governed by the Franchise Agreement itself.
It is important for potential franchisees to thoroughly investigate the conditions and requirements for renewal, as detailed in these sections, to fully understand their rights and obligations regarding the continuation of their Del Taco franchise beyond the initial term. This includes understanding any fees, conditions, or performance metrics that must be met to qualify for renewal.