For Jersey Mikes, can the company revoke approval of an alternative supplier at any time?
Jersey_Mikes Franchise · 2025 FDDAnswer from 2025 FDD Document
You may only use, offer to sell and sell from the Franchised Restaurant the sandwiches, menu items, breads, meats, cheeses, ingredients, toppings, spice mixes and other food and beverage products and materials, containers, packaging materials, other paper and plastic products, plates, cups, utensils, menus, uniforms, forms, cleaning and sanitation materials and other materials and supplies which meet Company's specifications and quality standards and which are stated in Company's approved list of merchandise, products and accessories or suppliers. However, if you propose to offer for sale or use any brand of product not previously approved by Company as meeting its System Standards, or to purchase any product from a supplier that is not a n approved supplier, you must first notify Company and Company may require submission of sufficient specifications, information and samples to determine whether this brand and/or supplier meets its specifications. You will reimburse Company for the actual cost of testing your proposed product. Company will advise you within a reasonable time (which will generally be within 30 days after Company receives all information and materials described above) whether this item or supplies meets its specifications. Company is not required to respond to your request, and any of Company's actions taken in response will be up to Company, including assessing a fee to compensate Company for the time and resources spent in evaluating the proposed product and/or supplier (see Item 6). Company's approval may be revoked at any time for any reason, on written notice.
Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 28–32)
What This Means (2025 FDD)
According to Jersey Mike's 2025 Franchise Disclosure Document, Jersey Mike's has the authority to revoke approval of an alternative supplier at any time. If a franchisee proposes to use a product or supplier not already approved, they must first notify Jersey Mike's and provide specifications and samples for evaluation. The franchisee is responsible for reimbursing Jersey Mike's for the actual cost of testing the proposed product. Jersey Mike's will then advise the franchisee within a reasonable time, generally 30 days after receiving all necessary information, whether the item meets their standards.
Jersey Mike's is not obligated to respond to the request, and any actions taken are at their discretion, including assessing a fee to compensate for the time and resources spent evaluating the proposed product or supplier. This process ensures that all products and suppliers meet Jersey Mike's System Standards, maintaining quality and consistency across all franchise locations.
Importantly, Jersey Mike's retains the right to revoke any previously granted approval at any time, for any reason, provided they give written notice. This condition gives Jersey Mike's significant control over the supply chain and allows them to react swiftly to any issues with a supplier's quality, service, or adherence to standards. For a prospective franchisee, this means that even after going through the process of getting an alternative supplier approved, there is no guarantee that the approval will be permanent. This is a fairly common practice in franchising, as franchisors need to maintain brand standards and protect their system.