factual

What happens if a Gold Star franchisee orders from a supplier that is no longer approved?

Gold_Star Franchise · 2025 FDD

Answer from 2025 FDD Document

The COMPANY may from time to time modify the list of approved Products and/or suppliers in the Manual or otherwise in writing, and FRANCHISEE shall not, after receipt of notice of such modification, reorder any Product, or order from any supplier, that is no longer approved.

Source: Item 23 — Receipts (FDD pages 53–163)

What This Means (2025 FDD)

According to Gold Star's 2025 Franchise Disclosure Document, Gold Star may modify the list of approved products and/or suppliers. After receiving notice of such modification, a franchisee must not reorder any product, or order from any supplier, that is no longer approved.

This means Gold Star franchisees must stay informed about any changes to the approved supplier list. Failure to comply with the approved supplier list could lead to consequences, as maintaining uniform standards is crucial for the Gold Star system.

Gold Star provides a list of approved sources for supplies, equipment, and other necessary items. Franchisees can request approval for alternative suppliers, but Gold Star has the right to inspect the source's facilities and test samples, with the franchisee bearing the costs of inspection and testing. Gold Star can also revoke approval of any source or item that no longer meets their criteria.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.