Is a Moes Southwest Grill franchisee required to provide catering and delivery services?
Moes_Southwest_Grill Franchise · 2025 FDDAnswer from 2025 FDD Document
We require you to provide catering services and delivery services, and you must do so in accordance with any restrictions and guidelines that we may establish in the Manuals or otherwise in writing. You may only provide delivery services through a TPS that we approve or designate. If a TPS is unavailable to provide delivery services for your Restaurant, you may not be required to offer delivery services, subject to our written approval. We, our affiliates, and our other franchisees may provide catering and delivery services anywhere, including near your Restaurant. We retain the right to revise and/or make exceptions to our catering and delivery policies as they apply to you and our other franchisees.
Source: Item 16 — Restrictions on What the Franchisee May Sell (FDD pages 76–77)
What This Means (2025 FDD)
According to the 2025 Moe's Southwest Grill FDD, franchisees are generally required to provide both catering and delivery services. Moe's Southwest Grill mandates that franchisees offer catering and delivery services in accordance with the guidelines established in their manuals or in writing. However, franchisees are restricted to using only approved or designated third-party providers (TPS) for delivery services.
There is a conditional exception to the delivery requirement. If an approved TPS is not available to provide delivery services for a franchisee's restaurant, Moe's Southwest Grill may waive the delivery service requirement, but this is subject to their written approval. This suggests that while delivery is generally mandatory, practical limitations in certain locations could lead to an exception.
Moe's Southwest Grill retains the right to modify its catering and delivery policies and make exceptions for individual franchisees. Additionally, Moe's Southwest Grill, its affiliates, and other franchisees can offer catering and delivery services anywhere, including in proximity to a franchisee's restaurant. This indicates that while franchisees are generally required to provide these services, Moe's Southwest Grill maintains control over the broader catering and delivery landscape, potentially creating competition or overlap in service areas.