Is a Monicals Pizza franchisee allowed to relocate their restaurant without the franchisor's consent?
Monicals_Pizza Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee shall not relocate the Franchised Restaurant without the prior written consent of Franchisor. If the lease for the Approved Location expires or terminates through no fault of Franchisee or if the Franchised Restaurant's premises are destroyed, condemned or otherwise rendered unusable through no fault of Franchisee, Franchisee may request the right to relocate the Franchised Restaurant either permanently or temporarily as appropriate under the circumstances and Franchisor shall not unreasonably withhold its consent to such relocation. Should Franchisee desire to relocate the Franchised Restaurant for any other reason, Franchisee shall request the right and Franchisor may approve or disapprove such request. Any relocation of the Franchised Restaurant shall be at Franchisee's sole expense, and shall proceed in accordance with the requirements set forth in Sections 5.1 through 5.7. Franchisor has the right to charge Franchisee for any costs incurred by Franchisor in providing assistance to Franchisee, including, but not limited to, legal and accounting fees. Notwithstanding the foregoing, Franchisor has no obligation to provide relocation assistance. If Franchisor and Franchisee do not agree upon a substitute site within ninety (90) days after the lease expires or is terminated or the Approved Location is rendered unusable, this Agreement shall terminate as provided in Section 16.2.1.1.
Source: Item 23 — RECEIPTS (FDD pages 46–257)
What This Means (2025 FDD)
According to the 2025 Monicals Pizza Franchise Disclosure Document, a franchisee is not allowed to relocate their restaurant without the prior written consent of Monicals Pizza. If the lease expires or terminates through no fault of the franchisee, or if the premises are unusable due to circumstances beyond the franchisee's control (such as destruction or condemnation), the franchisee can request to relocate the restaurant. In these specific cases, Monicals Pizza cannot unreasonably withhold consent for relocation.
However, if a franchisee wishes to relocate for any other reason, Monicals Pizza has the right to either approve or disapprove the request. Any relocation that is approved will be at the franchisee's sole expense and must adhere to specific requirements outlined in the FDD. Monicals Pizza also has the right to charge the franchisee for any costs incurred while providing assistance, including legal and accounting fees, though they are not obligated to provide relocation assistance.
If Monicals Pizza and the franchisee cannot agree on a substitute site within 90 days after the lease expires, is terminated, or the location becomes unusable, the Franchise Agreement may be terminated. This clause highlights the importance of securing franchisor approval and demonstrates the potential financial burden and risk of termination associated with relocation.