What is the Dq Treat franchisee's obligation regarding the purchase of payment card processing and related services?
Dq_Treat Franchise · 2025 FDDAnswer from 2025 FDD Document
ADQ also has designated (a) Fiserv (formerly, FirstData Merchant Services) as the sole supplier of payment card processing and related services you must purchase, (b) Verifone as the sole supplier of certain payment card data encryption services that you must purchase
Source: Item 8 — UItem 8U***:** U**Restrictions on Sources of Products and Services (FDD pages 29–35)
What This Means (2025 FDD)
According to the 2025 Dq Treat Franchise Disclosure Document, franchisees are required to use Fiserv (formerly, FirstData Merchant Services) as the sole supplier for payment card processing and related services. This means a franchisee cannot choose another provider, even if they find more favorable terms elsewhere. Dq Treat has designated specific suppliers for various services, ensuring uniformity and potentially leveraging bulk pricing.
In addition to Fiserv, Dq Treat franchisees must also use Verifone as the sole supplier for certain payment card data encryption services. This dual requirement highlights the importance Dq Treat places on secure payment processing. The franchisee is obligated to adhere to these designated suppliers, and Dq Treat retains the right to change or add suppliers in the future.
This requirement is typical in franchising, where franchisors seek to maintain brand consistency and quality control. While it limits the franchisee's autonomy in vendor selection, it may also offer benefits such as pre-negotiated rates and integrated systems. Prospective franchisees should inquire about the terms and conditions of these supplier agreements to fully understand the costs and services involved.