For a Dq Treat franchise, what is the licensee's responsibility regarding all construction costs associated with the project opening?

According to Dq Treat's 2025 Franchise Disclosure Document, the licensee bears the sole responsibility for all construction costs, late fees, rental commencement charges, and any other expenses tied to the project's opening. This means that Dq Treat franchisees must be prepared to cover all financial aspects of construction, including potential overruns or costs associated with delays.

Furthermore, any changes made to the building and equipment after the construction contract is signed may result in additional costs to the franchisee. It is critical that franchisees notify the construction consultant and obtain written approval from Dq Treat for any changes to avoid unexpected expenses. The franchisee is also responsible for ensuring the general contractor includes all necessary items in their bid, though unforeseen circumstances may lead to additional costs through approved change orders, which the franchisee must also pay.

Dq Treat does not assume responsibility for construction cost overruns or costs associated with opening delays. The FDD emphasizes that Dq Treat's role is limited to providing construction consultation services in coordination with the project's general contractor and architect. Dq Treat is not liable for the actual construction, equipment installation, construction delays, errors, omissions, cost overruns, or any related damages. The scope of Dq Treat's services is limited to those described in Exhibit A and does not constitute a "turn-key" service.

Prospective Dq Treat franchisees should carefully consider these financial responsibilities and ensure they have sufficient capital to cover all potential construction-related costs. It is also important to maintain open communication with the construction consultant and obtain all necessary approvals to mitigate the risk of unexpected expenses during the construction process.