In the context of the agreement, what is the 'Effective Date' for 360 Painting?
360_Painting Franchise · 2025 FDDAnswer from 2025 FDD Document
THIS FRANCHISE AGREEMENT (the "Agreement") is made and entered into as of the date set forth on Exhibit C-1 attached hereto (the "Effective Date") (Exhibit C-1 and all other exhibits hereto are incorporated herein by this reference) by and between 360 Painting, LLC, a limited liability company organized under the laws of Delaware with its principal place of business at the address set forth on Exhibit C-1 hereto ("Franchisor"), and the person or entity identified on Exhibit C-1 as the franchisee ("Franchisee").
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 56)
What This Means (2025 FDD)
According to 360 Painting's 2025 Franchise Disclosure Document, the Effective Date of the Franchise Agreement is defined as the date set forth on Exhibit C-1, which is attached to the agreement. This date marks the commencement of the agreement between 360 Painting, LLC (the Franchisor) and the Franchisee. All exhibits are incorporated by reference into the agreement.
This Effective Date is a critical reference point for several obligations and timelines within the franchise agreement. For instance, the franchisee typically has three months from the Effective Date to complete initial training and begin operating their 360 Painting business. Failure to meet this deadline may give the Franchisor grounds to terminate the agreement.
Furthermore, the Effective Date is relevant to the duration and enforcement of certain post-termination obligations, such as non-compete clauses. Understanding the precise Effective Date is therefore essential for a 360 Painting franchisee to accurately track their rights and responsibilities under the agreement.