If a Mr. Sandless franchisee wants to acquire items or services from an unapproved supplier, what must they do?
Mr_Sandless Franchise · 2025 FDDAnswer from 2025 FDD Document
o time, and amend as deemed appropriate by Franchisor, a list of required and/or recommended products and services for System franchisees and a list of approved and/or recommended suppliers of such items. Franchisee acknowledges that Franchisor or Franchisor's affiliate(s) may be the sole approved supplier(s) of certain products and services that Franchisee is required to purchase to operate the Franchised Business.
- 9.8.2 If you wish to offer any product or service that we have not authorized or to acquire items or services from an unapproved supplier, you must request our approval in writing and provide us with all information we may reasonably need to evaluate the proposed product, service or supplier. We may approve or reject proposed products, services or suppliers in our sole and absolute discretion. We will make a good faith effort to notify you of our approval within fifteen (15) days of receiving all required
information. Our failure to approve a product, service or supplier within this fifteen (15) day period will constitute disapproval of the proposed product, service or supplier. If we approve your request to offer a new product or service or to acquire items from a new supplier, such approval will be only for the specific product, service or supplier for which approval was granted. If we incur any costs in connection with testing a particular product or evaluating an unapproved supplier at your request, you or the supplier must reimburse our reasonable testing costs, but not more than Five Hundred Dollars ($500), regardless of whether we subsequently approve the item or supplier. Nothing in the foregoing shall be construed to require us to approve any particular supplier.
9.8.3 We may base our approval of any such proposed item or supplier on considerations relating not only directly to the item or supplier itself, but also indirectly to the uniformity, efficiency, and quality of operation we deem necessary or desirable in the System as a whole. We have the right to receive payments from suppliers on account of their dealings with you and other franchisees, and to use any and all amounts we receive without restriction (unless instructed otherwise by the supplier) for any purposes we deem appropriate. Nothing herein shall require us to approve an unreasonable number of suppliers for a given item, which approval might, in our reasonable judgment, result in higher costs or prevent the effective or economical supervision of approved suppliers. We may revoke our approval of particular products or suppliers when we determine, in our sole discretion, that such products or suppliers no longer meet our standards. Upon receipt of written notice of such revocation, you must cea
Source: Item 22 — CONTRACTS (FDD page 42)
What This Means (2025 FDD)
According to Mr. Sandless's 2025 Franchise Disclosure Document, if a franchisee wishes to acquire items or services from a supplier that is not on the approved list, they must request approval from Mr. Sandless in writing. The franchisee must provide all information that Mr. Sandless may reasonably need to evaluate the proposed supplier.
Mr. Sandless has the sole and absolute discretion to approve or reject the proposed supplier. Mr. Sandless will make a good faith effort to notify the franchisee of its decision within 15 days of receiving all required information. If Mr. Sandless fails to approve a product, service, or supplier within this 15-day period, it will be considered a disapproval.
If Mr. Sandless approves the request, the approval is only for the specific product, service, or supplier for which approval was granted. Mr. Sandless may base its approval on considerations relating to the uniformity, efficiency, and quality of operation of the Mr. Sandless system. Mr. Sandless may also revoke its approval of particular products or suppliers if they no longer meet the company's standards. If a franchisee uses unapproved products, solutions, or supplies on a customer job, they will be fined $2,500 per day of use and risk termination of their franchise.
If Mr. Sandless incurs any costs in connection with testing a product or evaluating a supplier at the franchisee's request, the franchisee or the supplier must reimburse Mr. Sandless's reasonable testing costs, up to a maximum of $500, regardless of whether the item or supplier is ultimately approved.