What happens if a Desi District franchisee does not promptly resolve customer complaints?
Desi_District Franchise · 2024 FDDAnswer from 2024 FDD Document
- 7.8 Customer Complaints. Franchisee shall use its best efforts to promptly resolve any customer complaints.
Desi District Franchise Group may take any action it deems appropriate to resolve a customer complaint regarding the Business, and Desi District Franchise Group may require Franchisee to reimburse Desi District Franchise Group for any expenses.
- 7.9 Evaluation and Compliance Programs. Franchisee shall participate at its own expense in programs required from time to time by Desi District Franchise Group for obtaining customer evaluations, reviewing Franchisee's compliance with the System, and/or managing customer complaints, which may include (but are not limited to) a customer feedback system, customer survey programs, and mystery shopping.
Desi District Franchise Group shall share with Franchisee the results of these programs, as they pertain to the Business.
Franchisee must meet or exceed any
minimum score requirements set by Desi District Franchise Group for such programs. Desi District Franchise Group may set minimum scores that Franchisee must receive from the public on internet review sites (such as Yelp or Google).
Source: Item 22 — CONTRACTS (FDD page 52)
What This Means (2024 FDD)
According to Desi District's 2024 Franchise Disclosure Document, franchisees are expected to use their best efforts to promptly resolve customer complaints. If a franchisee fails to do so, Desi District has the right to step in and take action to resolve the complaint themselves.
If Desi District resolves a customer complaint, they can require the franchisee to reimburse them for any expenses incurred. This could include costs directly related to resolving the complaint, such as refunds or compensation to the customer.
Furthermore, Desi District requires franchisees to participate in programs designed to evaluate customer feedback and compliance with the Desi District system. These programs may include customer feedback systems, surveys, and mystery shopping. Franchisees must meet or exceed any minimum score requirements set by Desi District for these programs, including scores on internet review sites like Yelp or Google. Failure to meet these minimum scores could result in further action by Desi District, as detailed elsewhere in the Franchise Agreement.