What happens if the Franchised Location for a Southern Steer business is not determined by the Effective Date?
Southern_Steer Franchise · 2025 FDDAnswer from 2025 FDD Document
The Franchised Location is described in the Attachment A.
If the Franchised Location has not yet been determined as of the Effective Date of this Agreement, then when the address of the Franchised Location is determined, the street address, city and state for the Franchised Location will be inserted in Attachment A to this Agreement and signed by both the Franchisor and the Franchisee.
Franchisor reserves the right to terminate the Franchise Agreement if Franchisee fails to provide Site Information for the Franchised Location and fails to lease a site for the Franchised Location, approved by Franchisor, within 90 days after the Effective Date of this Agreement.
Source: Item 22 — ITEM. 22 CONTRACTS (FDD pages 61–168)
What This Means (2025 FDD)
According to the 2025 Southern Steer Franchise Disclosure Document, if the franchised location is not determined by the effective date of the agreement, the street address, city, and state will be added to Attachment A of the agreement once it is determined. Both the franchisor and franchisee must then sign this attachment.
However, Southern Steer reserves the right to terminate the franchise agreement if the franchisee fails to provide site information and lease a site approved by Southern Steer within 90 days after the effective date of the agreement. This means a prospective franchisee needs to actively search for and secure a suitable location within this timeframe or risk losing the franchise.
Attachment A of the Franchise Agreement also describes the area where the franchisee has the right to locate their Southern Steer business until the address of the franchised location has been determined. Attachment A also contains the franchised location address, the protected area (a five-mile radius around the franchised location), the required opening date, and the initial franchise fee ($59,500, or $50,575 for a veteran discount).