What happens if a supplier is no longer approved by Jack In The Box?
Jack_In_The_Box Franchise · 2025 FDDAnswer from 2025 FDD Document
The Company requires that suppliers consistently comply with all of the Company's standards, specifications, and contractual expectations. This may include, without limitation, programs, access requirements, third party audit requirements, initial and ongoing sampling requirements and microbiological surveillance programs. We visit and inspect the approved suppliers' facilities on a continuing basis for announced and unannounced inspections, and independently evaluate and test the products the suppliers are producing. Termination of a supplier as an approved supplier occurs by written notice to the supplier. If a supplier is no longer approved, we will notify all approved distributors and may notify individual franchisees. Upon receipt of written notice of a revocation of approval, you must stop selling any unapproved products, and stop buying from the unapproved supplier. The company will determine an appropriate supplier and/or product replacement for you.
Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 41–46)
What This Means (2025 FDD)
According to the 2025 Jack In The Box Franchise Disclosure Document, Jack In The Box requires its suppliers to consistently meet the company's standards, specifications, and contractual expectations. These expectations include programs, access requirements, third-party audit requirements, and sampling and microbiological surveillance programs. Jack In The Box conducts both announced and unannounced inspections of its approved suppliers' facilities and independently tests the products they produce.
If a supplier loses its approved status, Jack In The Box will issue a written notice to the supplier, approved distributors, and may notify individual franchisees. Upon receiving this notice, franchisees must immediately cease selling any products from the unapproved supplier and discontinue purchasing from them. Jack In The Box will then identify an appropriate replacement supplier or product for the franchisee to use.
This policy ensures that Jack In The Box restaurants maintain consistent quality and safety standards. For a prospective franchisee, this means they must be prepared to switch suppliers or products if Jack In The Box revokes approval from a current supplier. While this change is mandated by the franchisor, Jack In The Box will assist in finding a suitable replacement to minimize disruption to the franchisee's operations.