Under the Dq Treat relocation policy, what additional documents must a qualifying franchisee sign?
Dq_Treat Franchise · 2025 FDDAnswer from 2025 FDD Document
ADQ has a relocation policy that permits qualifying franchisees with a Street location that sign a new franchise agreement and the relocation addendum to relocate a store within two miles of the current store location, provided the location is of the same type. For instance, a Street location outside of a mall cannot relocate within a mall. The timeframes detailed in the paragraph above apply to this relocation policy. Relocating franchisees do not need to pay an initial franchise fee, although relocating franchisees must meet the then-current training requirements (including payment of any fees and/or costs) and must purchase construction consultation services and prototype building plans (if the location is freestanding). See Item 7 for more information on these costs. Relocating franchisees may pay reduced continuing license fees and sales promotion program fees, depending on the circumstances. See Item 6 for more information. The relocation policy is subject to ADQ's prior written consent and the other relocation standards contained in the franchise agreement and any applicable lease (see Item 9). The relocation policy does not apply to non-system food or Captive-venue locations.
Source: Item 12 — UItem 12U***:** U**Territory (FDD pages 47–49)
What This Means (2025 FDD)
According to Dq Treat's 2025 Franchise Disclosure Document, a qualifying franchisee with a Street location who wishes to relocate their store within two miles of the current location must sign a new franchise agreement and a relocation addendum. This policy applies only if the new location is of the same type as the original; for example, a Street location outside of a mall cannot relocate within a mall.
Relocating franchisees are exempt from paying an initial franchise fee. However, they must still meet the then-current training requirements, which includes covering any associated fees and costs. Additionally, franchisees must purchase construction consultation services and prototype building plans if the new location is freestanding. Item 7 of the FDD provides more details on these costs.
Depending on the specific circumstances, relocating franchisees may also be eligible for reduced continuing license fees and sales promotion program fees, as detailed in Item 6 of the FDD. It's important to note that any relocation is subject to Dq Treat's prior written consent and must adhere to the relocation standards outlined in the franchise agreement and any applicable lease, as discussed in Item 9. This relocation policy does not extend to non-system food or Captive-venue locations.