factual

How long does Itan have to approve or disapprove a franchisee's request for an alternative supplier?

Itan Franchise · 2025 FDD

Answer from 2025 FDD Document

We will approve or disapprove your request within 120 days after we receive all required information and samples.

Your request is deemed disapproved if we fail to issue our approval within the 120-day period.

You must reimburse all costs we incur to review suppliers or goods/services you propose.

We need not consider substitute goods or alternative suppliers for goods that are proprietary or branded with our Marks.

Source: Item 23 — RECEIPT (FDD pages 44–190)

What This Means (2025 FDD)

According to Itan's 2025 Franchise Disclosure Document, Itan has 120 days to approve or disapprove a franchisee's request to purchase alternative goods or services from an alternative supplier. This 120-day period starts after Itan receives all required information and samples related to the request.

If Itan fails to issue an approval within this 120-day timeframe, the franchisee's request is automatically considered disapproved. The franchisee is responsible for reimbursing Itan for all costs incurred during the review of the proposed suppliers or goods and services.

This requirement ensures Itan franchisees adhere to Itan's standards while giving franchisees an avenue to propose alternatives. However, Itan need not consider alternative suppliers for goods that are proprietary or branded with Itan's Marks. Franchisees should factor in these potential costs and the possibility of disapproval when considering alternative suppliers.

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.