factual

What criminal convictions of an All County franchisee or their owners can lead to termination of the agreement?

All_County Franchise · 2025 FDD

Answer from 2025 FDD Document

  • 22.2.5. you (or any of your owners) are or have been convicted by a trial court of, or plead or have pleaded guilty or no contest to, a felony or any crime involving moral turpitude;

Source: Item 23 — Receipts (FDD pages 43–157)

What This Means (2025 FDD)

According to All County's 2025 Franchise Disclosure Document, a franchisee's agreement can be terminated if the franchisee or any of their owners are convicted of certain crimes. Specifically, a felony conviction by a trial court, or pleading guilty or no contest to a felony, is grounds for termination. Additionally, conviction of any crime involving moral turpitude can also lead to the termination of the All County franchise agreement.

This provision in the franchise agreement is fairly standard, as franchisors typically want to protect their brand's reputation and ensure that franchisees adhere to ethical and legal standards. Moral turpitude is a broad term that can include crimes such as fraud, theft, or other offenses considered inherently immoral. The inclusion of 'no contest' pleas is also common, as it prevents franchisees from avoiding responsibility for criminal actions while still technically not being 'convicted' through a trial.

For a prospective All County franchisee, this means that a criminal record, or even a plea of no contest to certain charges, could disqualify them from owning a franchise or lead to termination of their agreement. It is crucial for potential franchisees and their owners to be aware of this clause and to ensure they maintain a clean criminal record to avoid jeopardizing their investment. This also extends to any individuals who may have an ownership stake in the franchise, even if they are not directly involved in the day-to-day operations.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.