What insurance-related documents must a Noodles & Company franchisee furnish to Noodles & Company before opening?
Noodles_Company Franchise · 2025 FDDAnswer from 2025 FDD Document
- 3.04 Right to Open. You shall be permitted to open the Restaurant when all of the following conditions have been met:
- (i) Insurance Policies. Noodles & Company has been furnished with copies of all insurance policies required by Section 9.08 of this Agreement or such other evidence of insurance coverage and payment of premiums as Noodles & Company may request.
9.08 Insurance. You must maintain in force such insurance policies as we require from time to time as set forth in the Operations Manual and you shall provide insurance certificates to us within 10 days of executing the Franchise Agreement and annually at least 10 days to expiration of each policy. Such policies shall (a) name us and our Affiliates as additional insureds and loss payees; (b) provide for 30 days' prior written notice to us of any material modification, cancellation, non-renewal or expiration of such policy; and (c) include such other provisions as we may require from time to time.
Prior to opening each Noodles & Company Restaurant, and annually thereafter, you must furnish us with such evidence of insurance coverage and payment of premiums as we require. If you fail or refuse to maintain any required insurance coverage, or to furnish satisfactory evidence thereof, we, at our option and in addition to our other rights and remedies hereunder, may obtain such insurance coverage on your behalf. If we do so, you must fully cooperate with us in our effort to obtain such insurance policies and pay us any costs and premiums we incur.
Source: Item 23 — RECEIPT (FDD pages 99–350)
What This Means (2025 FDD)
According to Noodles & Company's 2025 Franchise Disclosure Document, prior to opening a restaurant, a franchisee must furnish copies of all insurance policies required by Section 9.08 of the franchise agreement, or other evidence of insurance coverage and payment of premiums as Noodles & Company may request.
Section 9.08 stipulates that the franchisee must maintain the insurance policies that Noodles & Company requires and provide insurance certificates within 10 days of executing the Franchise Agreement and annually at least 10 days prior to the expiration of each policy. These policies must (a) name Noodles & Company and its affiliates as additional insureds and loss payees; (b) provide for 30 days' prior written notice to Noodles & Company of any material modification, cancellation, non-renewal, or expiration of such policy; and (c) include other provisions as Noodles & Company may require from time to time.
If a Noodles & Company franchisee fails to maintain the required insurance coverage or provide satisfactory evidence, Noodles & Company has the option to obtain the necessary coverage on the franchisee's behalf. In such cases, the franchisee is obligated to cooperate fully with Noodles & Company in obtaining the insurance policies and must pay all associated costs and premiums. The franchisee's obligation to maintain insurance coverage is not diminished by any separate insurance that Noodles & Company may choose to maintain.