For Itan franchises, how far in advance will Itan notify franchisees of CPI adjustments?
Itan Franchise · 2025 FDDAnswer from 2025 FDD Document
We will notify you of any CPI adjustment at least 60 days before it becomes effective.
We may implement no more than one (1) fee adjustment during any five (5) year period.
If we decline to exercise our right to increase fees in a given five (5) year period despite a 5% or greater CPI increase, that potential fee increase will accumulate and may be carried forward and applied in connection with a subsequent fee adjustment.
We may also adjust the cap on periodic remodeling expenses in §11.10 at the same time, and in the same manner, as we adjust fees in accordance with this Section.
Source: Item 23 — RECEIPT (FDD pages 44–190)
What This Means (2025 FDD)
According to Itan's 2025 Franchise Disclosure Document, Itan will notify franchisees of any CPI (Consumer Price Index) adjustment at least 60 days before the adjustment takes effect. This advance notice allows franchisees time to prepare for any potential changes in fees that may result from the CPI adjustment.
Itan has the option to use any CPI index series published by the U.S. Department of Labor or a comparable governmental authority. Currently, Itan uses the All Urban Wage Earners and Clerical Workers (CPI-W), U.S. City Average (1982-84 = 100), "All Items" index.
Itan may implement a fee adjustment no more than once during any five-year period. If Itan chooses not to increase fees during a five-year period despite a CPI increase of 5% or greater, the potential fee increase accumulates and may be applied in connection with a later fee adjustment. Itan may also adjust the cap on periodic remodeling expenses at the same time and in the same manner as fee adjustments.