Can the Gold Star company require modernization and renovations to the retail location as a condition of renewal?
Gold_Star Franchise · 2025 FDDAnswer from 2025 FDD Document
- 16.1.6 FRANCHISEE is in compliance with the standards set forth in the COMPANY's Manual, has made such modernization and renovations (including, without limitation, signs, furnishings, interior and exterior decor, fixtures, equipment and structural changes) and repairs and maintenance to the Retail Location as the COMPANY may have required to comply with the COMPANY's then current standards in effect at the time of renewal and satisfactorily completes and causes any Manager or Operator or other key employee to satisfactorily complete any required initial or refresher training program;
Source: Item 23 — Receipts (FDD pages 53–163)
What This Means (2025 FDD)
According to Gold Star's 2025 Franchise Disclosure Document, maintaining the retail location to Gold Star's standards, including potential modernizations and renovations, is a condition for franchise renewal. Specifically, to renew the franchise agreement, the franchisee must comply with the standards in Gold Star's Manual and have completed any required modernizations and renovations to the retail location, including updates to signs, furnishings, interior and exterior decor, fixtures, equipment, and structural changes, to meet Gold Star's standards at the time of renewal.
This requirement ensures that all Gold Star locations maintain a consistent brand image and meet current customer expectations. Failing to comply with these standards can result in the denial of the renewal. The franchisee is also expected to complete any required initial or refresher training programs for themselves, their managers, operators, or other key employees.
In addition to meeting modernization and renovation standards, the franchisee must also meet other conditions for renewal, such as satisfying all monetary obligations to Gold Star and its affiliates, not being in default of any agreement terms, and executing Gold Star's then-current form of franchise agreement. The new franchise agreement may have materially different terms, including higher fees and different renewal rights. The franchisee must also deliver the then-current renewal fee to Gold Star.