What specifications might Noodles & Company require for Non-Proprietary Products?
Noodles_Company Franchise · 2025 FDDAnswer from 2025 FDD Document
remises in such quantities as are needed to meet reasonably anticipated consumer demand, certain proprietary sauces, products, and other ingredients and raw materials, which are manufactured in accordance with our proprietary recipes, specifications and/or formulas and/or uniquely specified or sourced ("Proprietary Products"). You shall purchase Proprietary Products only from Designated Suppliers. We shall not be obligated to reveal such recipes, specifications and/or
formulas of such Proprietary Products, or the terms and conditions of any supplier or other contracts, to you, non-designated suppliers, or any other third parties.
- 9.04 Non-Proprietary Ingredients & Products. We may designate other food products, condiments, beverages, fixtures, smallwares, furnishings, equipment, uniforms, supplies, services, menus, packaging, forms, paper products, software, modems and peripheral equipment and other products and equipment other than Proprietary Products that you must use and/or offer and sell at the Restaurant ("Non-Proprietary Products"). You may use, offer or sell only such Non-Proprietary Products that we have expressly authorized, and such products must be purchased or obtained from a producer, manufacturer, supplier or service provider that we have approved ("Approved Supplier") or an Alternative Approved Supplier that we have designated or approved pursuant to Section 9.04 (b) below.
- (a) Each such Approved Supplier designated or approved by us must comply with our usual and customary requirements regarding insurance, indemnification, and non-disclosure, and shall have demonstrated to our reasonable satisfaction: (i) its ability to supply a Non-Proprietary Product meeting our specifications, which may include, without limitation, specifications as to brand name, contents, manner of preparation, ingredients, quality, freshness and compliance with governmental standards and regulations; and (ii) its reliability with respect to delivery and the consistent quality of its products and services.
- (b) If you desire to procure authorized Non-Proprietary Products from a supplier other than one previously approved or designated by us, you shall deliver written notice to us of your desire to seek approval of such supplier, which notice shall: (i) identify the name and address of such supplier; (ii) contain such information as may be requested by us or required to be provided pursuant to the Operations Manual (which may include reasonable financial, operational and economic information regarding its business), and (iii) identify the authorized Non-Proprietary Products desired to be purchased from such supplier. We shall, upon your request, furnish specifications for such Non-Proprietary Products if such are not contained in the Operations Manual. We shall not be obligated to disclose the terms and conditions, including the pricing, to anyone as to Proprietary or Non-Proprietary Products. We may thereupon request that the proposed supplier furnish us at no cost to us product samples, specifications and such other information as we may require.
Source: Item 23 — RECEIPT (FDD pages 99–350)
What This Means (2025 FDD)
According to Noodles & Company's 2025 Franchise Disclosure Document, the company may designate certain food and non-food items as "Non-Proprietary Products" that franchisees must use. These include food products, condiments, beverages, fixtures, smallwares, furnishings, equipment, uniforms, supplies, services, menus, packaging, forms, paper products, software, modems, peripheral equipment, and other products. Franchisees are only allowed to use Non-Proprietary Products that Noodles & Company has expressly authorized and that are purchased from an Approved Supplier.
Noodles & Company's specifications for Non-Proprietary Products can include brand name, contents, manner of preparation, ingredients, quality, freshness, and compliance with governmental standards and regulations. Approved Suppliers must meet Noodles & Company's requirements regarding insurance, indemnification, and non-disclosure. Suppliers must also demonstrate their ability to consistently supply products that meet Noodles & Company's standards and are reliable in terms of delivery.
Furthermore, Noodles & Company may require suppliers to provide free samples of Non-Proprietary Products, comply with Noodles & Company's specifications, sell products bearing Noodles & Company's marks only to franchisees under a trademark license agreement, provide duplicate purchase invoices, make products available to all Noodles & Company restaurants (both company-owned and franchised), and comply with other reasonable requests. Franchisees may propose alternative suppliers, but they will bear all costs associated with the review and inspection of these suppliers, including travel, lodging, and product testing expenses. Noodles & Company may limit Non-Proprietary Products to a designated brand or brands and may revoke approval if a supplier fails to meet the company's criteria.