Estimated read time: 4-5 minutes
- A Utah lawmaker is introducing a bill that could prevent some franchise owners from being required to open on Sundays.
- The owner of two Nothing Bundt Cake bakeries in Utah says a new corporate policy requires her stores to operate seven days a week.
SALT LAKE CITY — When St. George native Kelsey Hunt looked to purchase a business franchise in her hometown several years ago, she ultimately landed on a Nothing Bundt Cake bakery, in part because she loved the product but also because she felt the company was aligned with her values.
Those values included having the option to close her franchise location on Sundays — the day Hunt recognizes as a day of worship.
"When we first signed our franchise agreement in 2018, Sundays were not a requirement, which was one of the keys for us in selecting the franchise that we wanted to partner with," she said. "We do believe that is a day of worship that we set aside in reverence as the Sabbath day. It is also the day that we get to spend time with our families and really focus on that family time. So, joining a brand at the time that aligned with that was very important for us."
Things have changed in the years since. Hunt — who recently opened a second franchise location in Spanish Fork — said the company is set to implement a new policy next month that would require all locations to open their doors on Sundays. Hunt said as a new location, her Spanish Fork bakery is already subject to those rules, but she is pushing back and asking for an exception for her locations.
While she still feels passionate about the brand and wants to continue to operate as part of Nothing Bundt Cakes, Hunt said the change in corporate policy feels to her as if it undermines the original agreement she had in place with the company.
"That's disheartening," she said, "but our passion and love for the brand and the product hasn't changed, so we are hoping that corporate will reconsider this and allow us to have the right to choose, as they once did, so we can continue to carry on with this brand."
Pending a response from the company, Hunt and other franchisees have begun pursuing another option: legislation at the state level to protect franchise owners in similar situations.
After being approached by several franchise owners, state Rep. Ken Ivory, R-West Jordan, is proposing a bill during the upcoming legislative session that would prevent companies from requiring franchises to be open certain days "unless such a stipulation was expressly negotiated and included in the initial franchise agreement," according to a press release.
Although his press release only mentions Sunday — which is recognized as the Sabbath by The Church of Jesus Christ of Latter-day Saints and many other Christian religions — Ivory told KSL.com the bill would apply to other holy days recognized by other religions. Ivory, a Latter-day Saint, described the bill as a simple measure to tell companies "they can't change the rules of the game in the middle of the game."
"As you talk to some of the franchisees, there are many of them where (being closed on Sunday) was ... a major factor in investing a substantial part of their life savings — if not all their life savings," Ivory said. "Now you've got some franchisers coming back and looking to dictate that they have to be open on Sunday."
"It's a very narrow bill," he added. "It only deals with someone who entered into a business with that expectation, that they can't change the rules of the game after someone has invested their life savings, their interest, their earnings, their time and attention."
Ivory said there are also business reasons for some stores to remain closed on Sundays.
"You have some of them that are in a mall where 90% of the stores are closed," he said. "It just makes sense that where these people entered into this business model with the representations and the expectation that they could be home with their family on Sunday, we think the law should honor that."
Nothing Bundt Cakes issued the following statement in response to questions from KSL.com: "Our mission is to deliver special moments of joy to our guests, their families, and friends every day of the week. Over 500 of our bakeries are open seven days a week, and there has been an overwhelmingly positive response from guests. We communicated the importance of being open all week long to our entire franchise system over a year ago. This provided them with time to prepare and is consistent with our franchise agreements. Like all franchised businesses in Utah that operate seven days a week, we will watch this proposed legislation closely."
Ivory's bill has yet to be made public, but it is expected to be considered after lawmakers convene on Jan. 21. The lawmaker said he has not heard from any companies in response to his proposal, but he's "happy to visit with them."
As for Hunt, she's optimistic the legislation will positively impact her situation.
"We want to continue to be here to support all of our guests' celebrations," she said. "If they want to celebrate on Sunday, please come to us on Saturday because our cakes are good in the fridge for several days. So, we can still support their Sunday celebrations, and we want to be part of their traditions."
