If a Monicals Pizza franchisee is notified in writing that a supplier is disapproved, what action must they take?
Monicals_Pizza Franchise · 2025 FDDAnswer from 2025 FDD Document
Periodically, we may review our approval of any services, goods or suppliers. We will notify you in writing if we revoke our approval of any services, goods or suppliers, and you must immediately stop purchasing disapproved services or goods or must immediately stop purchasing from a disapproved supplier. Additionally, we may negotiate pricing arrangements, including volume discounts on behalf of our franchisees with our suppliers. Volume discounts may not be available to franchisees located in outlying markets that a particular supplier does not serve in significant volume. Presently, there are no purchase or supply agreements in effect and no purchasing or distribution cooperatives that you must join.
Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 17–18)
What This Means (2025 FDD)
According to Monicals Pizza's 2025 Franchise Disclosure Document, if Monicals Pizza revokes its approval of any services, goods, or suppliers, they will notify the franchisee in writing. Upon receiving such notification, the franchisee must immediately stop purchasing the disapproved services or goods, or immediately stop purchasing from the disapproved supplier.
This requirement ensures that all Monicals Pizza restaurants maintain consistent quality and standards by using only approved resources. This protects the brand's reputation and customer experience.
Monicals Pizza may also negotiate pricing arrangements, including volume discounts, with suppliers on behalf of its franchisees. However, these volume discounts may not be available to franchisees in outlying markets that a particular supplier does not serve in significant volume. This could impact the cost of goods for some franchisees depending on their location.