Does Hardees reserve the right to change the master distributors?
Hardees Franchise · 2025 FDDAnswer from 2025 FDD Document
Where we have issued standards and specifications, you must use only ingredients, food products, spices, seasonings, mixes, beverages, materials, supplies used in the preparation of food products, furniture, fixtures, equipment, smallwares, forms, paper and plastic products and packaging, cleaning supplies, and other materials that meet those standards and specifications. Our standards and specifications are contained in the Operation Procedures Manual ("OPM"). Periodically, we will provide you a list of approved suppliers. Most food items and other goods that you are required to purchase will be purchased from a master distributor. The master distributor will carry items such as meats, cheese, grocery, bread products, paper and cleaning supplies. As of the date of this disclosure document, our master distributor is McLane Company, Inc. We reserve the right to change the master distributors. Other master distributors may be approved from time to time.
Source: Item 8 — Restrictions on Sources of Products and Services (FDD pages 39–42)
What This Means (2025 FDD)
According to Hardees' 2025 Franchise Disclosure Document, Hardees retains the authority to modify its master distributor arrangements. The FDD specifies that while franchisees are generally required to purchase most food items and other goods from a master distributor, Hardees reserves the right to change these distributors. As of the date of the FDD, the master distributor is McLane Company, Inc., but the document indicates that other master distributors may be approved in the future.
This provision grants Hardees the flexibility to adapt its supply chain as needed. This could be in response to factors such as pricing, service quality, or the distributor's ability to meet the evolving needs of the Hardees system. While the current master distributor carries essential items like meats, cheese, grocery, bread products, paper, and cleaning supplies, Hardees' ability to change distributors ensures they can optimize these supply channels.
For a prospective franchisee, this means that the specific supplier from whom they purchase the majority of their goods could change during the term of their franchise agreement. While Hardees is likely to make such changes in the best interest of the system as a whole, franchisees should be prepared for the possibility of needing to adjust to new ordering systems, product specifications, or delivery schedules as a result of a change in master distributor.