Does the notification requirement for Mr. Sandless franchisees extend to criminal actions brought by the franchisee against employees or customers?
Mr_Sandless Franchise · 2025 FDDAnswer from 2025 FDD Document
You must notify us in writing within five (5) days of the receipt of any complaint of any nature relating directly or indirectly, to the operation of your Business or of the commencement of any action, suit or proceeding against you, and of the issuance of any inquiry, subpoena, order writ, injunction award, or decree of court, agency or other governmental instrumentality, which arises out of, concerns, or may affect the operation or financial condition of the Business, including without limitation, any criminal action or proceeding brought by you against employees, customers, or other persons, and you shall within ten (10) days of receipt by you or your counsel, provide us with copies of all pleading and other documents. Without limiting the foregoing, you agree to notify us in advance of your intent to initiate any civil or criminal action against a customer or employee relating to the operation of the Business.
Source: Item 22 — CONTRACTS (FDD page 42)
What This Means (2025 FDD)
According to Mr. Sandless's 2025 Franchise Disclosure Document, franchisees are required to notify Mr. Sandless about various events related to their business. Specifically, this notification requirement extends to criminal actions initiated by the franchisee against employees or customers.
Mr. Sandless franchisees must provide written notice within five days of receiving any complaint related to the operation of their business or the commencement of any action, suit, or proceeding against them. This includes any inquiry, subpoena, order, writ, injunction, award, or decree from a court, agency, or governmental body that could affect the business's operation or financial condition. The notification requirement explicitly includes any criminal action or proceeding brought by the franchisee against employees, customers, or other persons.
Furthermore, the Mr. Sandless franchisee must provide copies of all pleadings and other documents within ten days of receipt by them or their counsel. The franchisee also agrees to notify Mr. Sandless in advance of their intent to initiate any civil or criminal action against a customer or employee relating to the operation of the Business. This ensures that Mr. Sandless is kept informed of any legal issues that could impact the brand or the franchise system.