Who is responsible for covering the travel and living expenses incurred while attending Hardees development training?
Hardees Franchise · 2025 FDDAnswer from 2025 FDD Document
and all of Franchisee's obligations will remain in full force and effect during the Interim Period as if the Agreement had not expired. Each Interim Period expires at the end of each calendar month unless this Agreement is renewed as provided for this Agreement. The Interim Period does not create any new franchise rights and upon expiration of the final Interim Period; provided Franchisee does not renew the rights licensed in this Agreement as specified in this Agreement, Franchisee will be bound by all post-term obligations as provided in this Agreement.
3. LEASE TERMS
If Franchisee has not previously provided HR with a fully-signed copy of its lease or sublease for the Franchised Location, or proof that Franchisee has purchased the real estate for the Franchised Location, Franchisee shall immediately upon execution of this Agreement provide HR with a copy of the fully-signed lease or sublease, together with the executed Hardee's Lease Addendum in the form attached as Appendix G. For purposes of this Agreement, the effective date of the lease or sublease, or the closing date of the purchase of the real property, shall be the "Property Control Date".
4. CONSTRUCTION OF THE FRANCHISED RESTAURANT
A. Development Training
Franchisee shall complete, to HR's satisfaction, any development training required by HR. Franchisee shall pay HR, for each person attending development training, a tuition fee as established by HR from time to time.
Source: Item 22 — Contracts (FDD page 85)
What This Means (2025 FDD)
According to Hardees' 2025 Franchise Disclosure Document, the franchisee is responsible for covering travel and living expenses incurred while attending development training. The franchisee must pay tuition fees for each person attending the Franchise Management Training Program (FMTP), as established by Hardees. Additionally, the franchisee is responsible for all travel, living, and other expenses incurred by their employees while attending the training programs.
This means that a prospective Hardees franchisee needs to factor in the costs of travel, accommodation, and other living expenses for themselves and their employees when budgeting for the initial training. These costs are in addition to the tuition fees charged by Hardees for the training programs. The FDD also states that Hardees reserves the right to dismiss anyone from the training program who they don't believe will perform acceptably in their position, and the franchisee must provide a suitable replacement within one month of such dismissal, potentially incurring further training-related expenses.
Furthermore, Hardees has the right to require franchisees, their owners, operating principals, general managers, and other employees to take and successfully complete additional training courses. The franchisee will be required to pay tuition fees for these additional programs, as well as all travel, living, and other expenses incurred by their employees while attending the training. This highlights the ongoing investment required in training and development throughout the franchise term.
In summary, the financial burden of training extends beyond tuition fees, encompassing all associated travel and living costs for the franchisee and their staff. This is a standard practice in the franchise industry, where franchisees typically bear the costs of sending their personnel for training, ensuring they are adequately prepared to operate the business according to the franchisor's standards.