Does submitting advertising for approval affect a Jersey Mikes franchisee's right to determine prices?
Jersey_Mikes Franchise · 2025 FDDAnswer from 2025 FDD Document
The submission of advertising to Franchisor for approval shall not affect Franchisee's right to determine the prices at which Franchisee sells its products or services, except in accordance with Section 14.1 below.
Source: Item 22 — CONTRACTS (FDD page 77)
What This Means (2025 FDD)
According to Jersey Mike's 2025 Franchise Disclosure Document, a franchisee's submission of advertising to Jersey Mike's for approval does not affect the franchisee's right to determine the prices at which they sell their products or services. However, this is with the exception of what is outlined in Section 14.1 of the agreement, which is not provided in the excerpt.
This means that while Jersey Mike's requires franchisees to submit advertising materials for approval to maintain brand consistency and standards, franchisees generally retain control over their pricing decisions. This allows franchisees to adapt to local market conditions and competitive pressures without direct interference from the franchisor.
However, the reference to Section 14.1 indicates there are specific circumstances where this pricing autonomy may be limited. A prospective franchisee should carefully review Section 14.1 of the franchise agreement to understand the conditions under which Jersey Mike's might influence or control pricing. This could include promotional periods, national advertising campaigns, or other specific situations outlined in the agreement.