What is the time frame for a Dq Treat licensee to alter the appearance of the Restaurant after termination?
Dq_Treat Franchise · 2025 FDDAnswer from 2025 FDD Document
After the expiration or termination of this agreement,
Licensee must not use the Restaurant premises or Authorized Location in violation of section 14.6.
- 5.2 Future Alteration. Any replacement, reconstruction, addition or modification in the building, premises, interior or exterior decor or image, equipment or signage of the Restaurant to be made after Company's consent is granted for initial plans, whether at the request of Licensee or of Company, must be made in accordance Company's then current specifications and standards. Licensee must not commence any replacement, reconstruction, addition or modification until Licensee has received Company's written consent to Licensee's revised building plans. Company owns any alterations or improvements made by or on behalf of Licensee to the building plans.
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, after the expiration or termination of the agreement, the licensee must not use the Restaurant premises or Authorized Location in violation of section 14.6. The document also states that any replacement, reconstruction, addition or modification in the building, premises, interior or exterior decor or image, equipment or signage of the Restaurant to be made after Company's consent is granted for initial plans, whether at the request of Licensee or of Company, must be made in accordance Company's then current specifications and standards.
This means that upon termination or expiration of the franchise agreement, a former Dq Treat franchisee is restricted from using the restaurant premises in a way that violates section 14.6 of the agreement. Furthermore, any alterations to the restaurant's appearance, even after initial approval, must adhere to Dq Treat's current standards and specifications.
In practical terms, a franchisee needs to be aware that they cannot simply rebrand or modify the restaurant's appearance immediately after the franchise agreement ends without adhering to Dq Treat's guidelines. This could involve a specific time frame for removing Dq Treat branding or a requirement to obtain Dq Treat's approval for any significant changes to the restaurant's design or layout. A prospective franchisee should seek clarification from Dq Treat regarding the specific requirements and timeframes for altering the restaurant's appearance after termination to ensure compliance and avoid potential legal issues.