What happens to the Equipment Warranty on replacement equipment if a Dq Treat Participating Location fails to pay the invoice for such replacement equipment?
Dq_Treat Franchise · 2025 FDDAnswer from 2025 FDD Document
If Participating Location fails to return the defective AE Equipment within such 14-day period, PAR will notify Participating Location that it has not received the return of the defective AE Equipment, and if Participating Location does not return such defective AE Equipment within 14 days after such notification, Participating Location will be required to purchase the replacement Equipment and pay a 10% restocking fee; and, if Participating Location fails to pay the invoice for such replacement Equipment, then the Equipment Warranty on the replacement Equipment will be ineffective until Participating Location's account is current.
Source: Item 17 — The following paragraph is added to the end of Item 17 of the Disclosure Document: (FDD pages 70–378)
What This Means (2025 FDD)
According to the 2025 Dq Treat Franchise Disclosure Document, if a Participating Location fails to pay the invoice for replacement equipment, the Equipment Warranty on that replacement equipment will become ineffective. This ineffectiveness lasts until the Participating Location's account is brought current.
This condition means that Dq Treat franchisees must maintain a current account standing to ensure that their replacement equipment remains under warranty. If an invoice for replacement equipment goes unpaid, the warranty is suspended, leaving the franchisee responsible for any repair or further replacement costs during the period of non-payment.
This policy incentivizes prompt payment for replacement equipment. Franchisees should ensure timely payment of invoices to avoid any lapse in warranty coverage, which could lead to unexpected expenses. It is important for franchisees to understand the terms and conditions of the Equipment Warranty and the implications of non-payment to manage their financial obligations and protect their investment in the Dq Treat franchise.