Who is responsible for directly supervising the Franchisee's Southern Steer Business?
Southern_Steer Franchise · 2025 FDDAnswer from 2025 FDD Document
sor. At the time of execution of this Agreement, Franchisee will provide, and at any later time at Franchisor's request, Franchisee or Franchisee's Operating Principal will promptly provide Franchisor with satisfactory proof of Franchisee's ownership. Franchisee will allow no changes in the ownership structure of Franchisee's Southern Steer Business without Franchisor's prior written consent.
(b) Responsibility for Operation of Franchisee's Southern Steer Business.
i. Franchisee, its Operating Principal or its Designated Manager will be responsible for directly supervising Franchisee's Southern Steer Business. Franchisee has the sole right and responsibility for the manner and means by which the day-to-day operation of the Southern Steer Business is determined and conducted and for achieving its business objectives. Subject to any approval, inspection and enforcement rights reserved to Franchisor, this right and responsibility includes, without limitation, the employment, supervision and conditions of employment and discharge for Franchisee's employees, and independent contractors, safety concerns and the achievement of conformity with the Systems.
ii. Franchisor's retention and exercise of the right to approve certain matters, to inspect the Southern Steer Business and its operation and to enforce its rights exists only to the extent necessary to protect Franchisor's interest in the System for the benefit of Franchisor, its Affiliates, other franchisees and licensees. Neither the retention nor the exercise of such right is for the purpose of establishing any control, or the duty to take control, of Franchisee's Southern Steer Business nor will they be construed to do so.
(c) Working Capital.
Source: Item 22 — ITEM. 22 CONTRACTS (FDD pages 61–168)
What This Means (2025 FDD)
According to Southern Steer's 2025 Franchise Disclosure Document, the franchisee, its Operating Principal, or its Designated Manager is responsible for directly supervising the Southern Steer Business. The franchisee has the sole right and responsibility for determining and conducting the day-to-day operations and achieving its business objectives. This includes the employment, supervision, conditions of employment, and discharge of the franchisee's employees and independent contractors, as well as safety concerns and ensuring conformity with Southern Steer's system.
During business hours, the franchisee must have management staff on duty who are responsible for supervising the Southern Steer Business's employees and operations. The franchisee is also responsible for ensuring that there are enough adequately trained and competent personnel on duty to guarantee efficient service to customers. The franchisee will control, supervise, and manage all employees, agents, and independent contractors who work for or with the franchisee.
Southern Steer's rights to approve certain matters, inspect the business, and enforce its rights are only to protect its interest in the system for the benefit of itself, its affiliates, and other franchisees. The retention or exercise of such rights is not for the purpose of establishing control over the franchisee's business, nor will it be construed to do so. This means that while Southern Steer maintains standards and can enforce compliance, the franchisee retains control over the daily operations and management of their specific location.