Is an Advanced Mobile Iv And Amiv franchisee allowed to grant a sub-franchise?
Advanced_Mobile_Iv_And_Amiv Franchise · 2023 FDDAnswer from 2023 FDD Document
Franchisee acknowledges that the Franchise granted under this Agreement is non-exclusive and that Franchisor retains all rights not specifically granted to Franchisee under this Agreement. Except as otherwise expressly provided in this Agreement, Franchisor retains the rights, among others, in Franchisor's sole discretion and without granting any right to Franchisee:
- A. to use, and to license others to use, the Marks and Licensed Methods for the operation of mobile IV Therapy businesses in territories and at any location other than in the Franchise Territory;
- B. to use or license to others to use the Marks and Licensed Methods or any other trademarks, service marks, logos or commercial symbols in connection with the sale of any services or products other than those directly contemplated being used, offered, or sold by Franchisee under this Agreement. Franchisor expressly reserves the right to sell, or earn rebates and fees from the sale by others licensed or authorized by Franchisor to sell, proprietary products on a wholesale basis for use in preparing services and products that will not carry an Advanced Mobile IV brand.
- C. to operate and grant to others the right to operate Advanced Mobile IV businesses on such terms and conditions as we deem appropriate.
Source: Item 23 — RECEIPTS (FDD pages 54–202)
What This Means (2023 FDD)
The 2023 Franchise Disclosure Document for Advanced Mobile IV and AMIV does not explicitly state whether a franchisee can grant sub-franchises. However, it does state that the franchise granted is non-exclusive and that Advanced Mobile IV and AMIV retains all rights not specifically granted to the franchisee. This implies that if the right to sub-franchise is not expressly granted, it is retained by the franchisor.
Furthermore, Advanced Mobile IV and AMIV reserves the right to operate and grant to others the right to operate Advanced Mobile IV businesses on such terms and conditions as they deem appropriate. This clause suggests that Advanced Mobile IV and AMIV maintains control over who can operate an Advanced Mobile IV and AMIV business, which would include the right to decide whether to grant franchises directly rather than allowing franchisees to sub-franchise.
Since the FDD does not directly address sub-franchising, it is important for a prospective franchisee to seek clarification from Advanced Mobile IV and AMIV regarding their policy on sub-franchising. Understanding whether sub-franchising is permitted, and under what conditions, is crucial for making an informed investment decision.