What standards must a Gold Star franchisee comply with to be eligible for renewal?
Gold_Star Franchise · 2025 FDDAnswer from 2025 FDD Document
16.1.5 All of FRANCHISEE's accrued monetary obligations to the COMPANY and its affiliates have been satisfied prior to renewal, and timely met throughout the term of this Agreement;
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;
16.1.7 Within thirty (30) days of receipt thereof, FRANCHISEE executes the COMPANY's then current form of franchise agreement and all other documents, agreements and instruments then customarily used by the COMPANY in granting Restaurant franchises, which agreement shall supersede this Agreement upon the expiration of this Agreement.
The terms of such new franchise agreement may differ materially from those in this Agreement, including but not limited to the terms of the franchise agreement, higher continuing franchise fees, higher advertising expenditures, higher fees or charges of other types, a different term,
different Protected Territory, different renewal rights and other different terms of any kind whatsoever); and
16.1.8 At the time of execution of the new franchise agreement pursuant to subsection 16.1.7 above, FRANCHISEE delivers to the COMPANY the then current renewal fee by certified check, such renewal fee to be in lieu of the initial franchise fee required under the new franchise agreement.
Source: Item 23 — Receipts (FDD pages 53–163)
What This Means (2025 FDD)
According to Gold Star's 2025 Franchise Disclosure Document, a franchisee must meet several standards to be eligible for renewal. These include satisfying all accrued monetary obligations to Gold Star and its affiliates, ensuring these obligations have been met in a timely manner throughout the agreement's term.
Additionally, the franchisee must be in compliance with the standards outlined in Gold Star's Manual. This includes completing any required modernization, renovations, and repairs to the Retail Location to meet Gold Star's current standards at the time of renewal. These renovations may include updates to signs, furnishings, interior and exterior decor, fixtures, equipment, and structural changes. Furthermore, the franchisee, along with any Manager, Operator, or other key employee, must satisfactorily complete any required initial or refresher training programs.
Finally, within thirty days of receipt, the franchisee must execute Gold Star's then-current form of franchise agreement and all other customary documents. The franchisee must also deliver the then-current renewal fee by certified check at the time of executing the new franchise agreement. The new franchise agreement's terms may differ materially from the original agreement, potentially including higher fees, different terms, and altered renewal rights.