Who is responsible for selecting the site of the Franchised Location for the Southern Steer Business?
Southern_Steer Franchise · 2025 FDDAnswer from 2025 FDD Document
rve in that capacity. The replacement Designated Manager will be required to satisfactorily complete the Initial Training Program, at Franchisee's sole cost and expense, and execute the Non-Competition and Non-Disclosure Agreement within the period required by Franchisor.
5. FRANCHISED LOCATION SELECTION; CONSTRUCTION; SIGNS; REMODELING
- 5.1. Franchised Location Site Selection. The Franchisee will be solely responsible for selecting the site of the Franchised Location for the Franchisee's Southern Steer Business. The Franchisor recommends that the Franchisee retain an experienced attorney to provide advice and counsel on the terms, conditions and economics of the legal and other documents required to lease or purchase the site for the Franchised Location.
- 5.2. Site Information. The Franchisee will provide to the Franchisor the information specified by the Franchisor in writing for the proposed site ("Site Information"). The Franchisor will have the right to require that the Franchisee obtain, at the Franchisee's expense, an economic feasibility study for the proposed site for the Franchised Location. Any such feasibility study required by the Franchisor will be completed by an expert mutually agreed upon by the Franchisor and the Franchisee in writing. The Franchisor will review the Site Information and the Franchisee will not purchase or lease a proposed site until the Franchisee has provided the Site Information to the Franchisor, the Franchisor has reviewed the Site Information, and the Franchisor has provided the Franchisee with a no-objection letter for the proposed site. The review of any Site Information, any visits by the Franchisor to a proposed site, the review of the site, and/or the issuance of a no-objection letter by the Franchisor will not constitute a warranty or representation by the Franchisor or any other party that the site for the Franchised Location chosen by the Franchisee will be a financial or operational success. The issuance of a no-objection letter by the Franchisor will only mean that it has received the Site Information provided by the Franchisee and reviewed the Site Information.
- 5.3. Purchase or Lease of Site. The Franchisee will provide the Franchisor with a copy of the proposed Lease for the site of the Franchised Location selected by the Franchisee at least 30 days before the date the Lease is to be signed.
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 is solely responsible for selecting the site of the franchised location for their Southern Steer Business. However, Southern Steer recommends that the franchisee retain an experienced attorney to provide advice on the terms and conditions of the lease or purchase documents for the site.
Before purchasing or leasing a site, the franchisee must provide Southern Steer with specific information about the proposed site. Southern Steer has the right to require the franchisee to obtain an economic feasibility study for the site at the franchisee's expense, completed by an expert agreed upon by both parties. The franchisee cannot proceed with the purchase or lease until Southern Steer reviews the site information and provides a no-objection letter.
Southern Steer's review of the site information and issuance of a no-objection letter does not constitute a warranty or representation that the chosen site will be financially or operationally successful. The no-objection letter only indicates that Southern Steer has received and reviewed the site information provided by the franchisee. The franchisee is also responsible for executing a lease that complies with the terms outlined in the franchise agreement within 90 days of the agreement's effective date.