Within how many days must a Del Taco franchisee pay invoices for inspection costs?
Del_Taco Franchise · 2025 FDDAnswer from 2025 FDD Document
ing but not limited to providing access to Franchisee's employees and guests; and, upon notice from Del Taco or its agents and without limiting Del Taco's other rights under this Agreement, Franchisee shall take such steps as may be necessary to correct immediately any deficiencies detected during any such inspection. Franchisee shall reimburse Del Taco for all of Del Taco's costs and expenses, including labor and travel expenses, incurred in conducting all such follow-up inspections after
Source: Item 22 — CONTRACTS (FDD pages 58–59)
What This Means (2025 FDD)
According to Del Taco's 2025 Franchise Disclosure Document, a franchisee is required to reimburse Del Taco for costs associated with follow-up inspections. Specifically, after the first follow-up inspection, the franchisee must cover all of Del Taco's costs and expenses, including labor and travel. Del Taco may also charge a reinspection fee of $500 per visit, in addition to cost reimbursement.
The franchisee is obligated to make these payments within fifteen (15) days of receiving an invoice from Del Taco. However, Del Taco retains the option to collect payment through Electronic Funds Transfer (EFT), as detailed in Section 3.5 of the agreement.
This requirement ensures that Del Taco is promptly compensated for inspection-related expenses, while also providing a clear timeframe for franchisees to manage their payments. Franchisees should be aware of these potential costs and ensure they have sufficient funds available to cover them within the specified timeframe to avoid potential penalties or EFT withdrawals.