Does Del Taco specify rules regarding honoring of gift certificates for franchisees?
Del_Taco Franchise · 2025 FDDAnswer from 2025 FDD Document
If Del Taco requires, Franchisee agrees to participate in the gift card program(s) that Del Taco specifies.
For this purpose, Franchisee must purchase the software, hardware, blank cards, and other items needed to sell and process gift cards or stored value cards, which Del Taco may specify in the Manuals or otherwise in writing.
Franchisee also agrees to pay such monthly and perswipe transaction fees as may be required by the vendor of the gift card system.
Franchisee must sell or honor gift cards only in accordance with Del Taco's written standards.
Franchisee must account for all gift card sales, gift card redemptions, and other gift card transactions in the manner Del Taco specifies in the Manuals.
Franchisee must maintain sufficient cash reserves to pay Del Taco or other franchisees as part of any network-wide periodic reconciliation of the gift card program.
Franchisee shall pay Del Taco or make payments as specified by Del Taco, in such amounts and at such times as directed by Del Taco, in accordance with Del Taco's gift card rules, programs and policies.
Franchisee agrees not to sell, issue, or redeem gift certificates other than gift cards that Del Taco has approved in writing.
Source: Item 22 — CONTRACTS (FDD pages 58–59)
What This Means (2025 FDD)
According to Del Taco's 2025 Franchise Disclosure Document, franchisees must adhere to specific rules regarding gift cards. Del Taco requires franchisees to participate in gift card programs if specified by Del Taco. To participate, franchisees must acquire the necessary software, hardware, blank cards, and other items to sell and process gift cards or stored value cards as specified in the manuals or in writing. Franchisees are also responsible for paying monthly and per-swipe transaction fees to the gift card system vendor.
Del Taco mandates that franchisees sell or honor gift cards only in accordance with Del Taco's written standards. Franchisees are also required to account for all gift card sales, redemptions, and other transactions as specified in the manuals. Furthermore, franchisees must maintain sufficient cash reserves to cover payments to Del Taco or other franchisees as part of any network-wide reconciliation of the gift card program. Franchisees must make payments to Del Taco as directed, following Del Taco's gift card rules, programs, and policies.
Del Taco franchisees are prohibited from selling, issuing, or redeeming any gift certificates other than the gift cards that Del Taco has explicitly approved in writing. This ensures uniformity and control over the gift card program across all franchise locations. These detailed requirements ensure that the gift card program is managed consistently across all Del Taco locations, maintaining brand standards and financial accountability.