What are the consequences if a Gold Star franchisee fails to adhere to the training requirements for themselves and their employees?
Gold_Star Franchise · 2025 FDDAnswer from 2025 FDD Document
- 14.4.6 The requirements regarding training of FRANCHISEE and employees of FRANCHISEE are not adhered to;
Source: Item 23 — Receipts (FDD pages 53–163)
What This Means (2025 FDD)
According to Gold Star's 2025 Franchise Disclosure Document, failure to adhere to the training requirements for both the franchisee and their employees constitutes a breach of the franchise agreement. Specifically, non-compliance with training mandates is explicitly listed as a cause for default.
This means that Gold Star has the right to terminate the franchise agreement if the franchisee does not ensure that they and their employees complete the required training programs. Termination of the agreement would result in the franchisee losing their rights to operate under the Gold Star brand and system.
Given the potential severity of this consequence, it is crucial for prospective Gold Star franchisees to fully understand the training obligations outlined in the franchise agreement and to ensure they are prepared to meet these requirements. This includes initial training, on-site training for the initial crew, and any additional or refresher courses that Gold Star may require.