Under what condition can Mr. Sandless prohibit the employment of a particular manager?
Mr_Sandless Franchise · 2025 FDDAnswer from 2025 FDD Document
You do not need to apply to us for approval of a proposed Designated Manager or Technical Manager, but we retain the right to prohibit employment of a particular manager if that person has demonstrated to us a lack of honesty or ability to manage the Business. Each of your managers must be trained in a manner satisfactory to us before assuming managerial responsibilities, and we may require that any proposed manager complete our initial training program, at your expense, before the manager may assume managerial responsibilities. You make your own business arrangements with managers, and we are not involved in setting conditions for employment. You must obtain from each manager you employ an agreement, in the form attached as Attachment 4 of the Franchise Agreement, to maintain the confidentiality of the Confidential Information obtained by virtue of his or her employment and to not participate in a competing business. You must also perform, through an accredited agency that has been approved by us in the Operations Manual, a background check of prospective employees before hiring them, and only hire employees that have passed the required background check, and otherwise meet the criteria provided in the Operations Manual. Your Designated Manager is not required to have an equity interest in the Business.
Source: Item 15 — OBLIGATION TO PARTICIPATE IN THE ACTUAL OPERATION OF THE FRANCHISE BUSINESS (FDD pages 29–30)
What This Means (2025 FDD)
According to Mr. Sandless's 2025 Franchise Disclosure Document, Mr. Sandless retains the right to prohibit the employment of a particular manager if that person has demonstrated a lack of honesty or ability to manage the business. However, the franchisee does not need to apply to Mr. Sandless for approval of a proposed Designated Manager or Technical Manager.
Mr. Sandless requires that each manager be trained in a manner satisfactory to them before assuming managerial responsibilities. Mr. Sandless may also require that any proposed manager complete their initial training program, at the franchisee's expense, before the manager may assume managerial responsibilities.
The franchisee makes their own business arrangements with managers, and Mr. Sandless is not involved in setting conditions for employment. The franchisee must obtain an agreement from each manager, in the form attached as Attachment 4 of the Franchise Agreement, to maintain the confidentiality of the Confidential Information obtained by virtue of their employment and to not participate in a competing business. The franchisee must also perform a background check of prospective employees before hiring them, and only hire employees that have passed the required background check and otherwise meet the criteria provided in the Operations Manual. The Designated Manager is not required to have an equity interest in the Business.