According to the All Team FDD, what is the relationship between the 'Agency' and the franchisee?
All_Team Franchise · 2025 FDDAnswer from 2025 FDD Document
WHEREAS, ATFC licenses others the right to operate a temporary and permanent employment agency in accordance with the Marks and the System described below; and
WHEREAS, FRANCHISEE desires to participate in the use of the System and Marks in connection with the operation of a franchised business under the terms and conditions set forth below;
NOW, THEREFORE, in consideration of the mutual promises and conditions contained herein, the parties agree as follows:
I. DEFINITIONS.
For purposes of this Agreement, the following terms shall have the meaning as set forth below:
A. "Agency" means the business which will be owned and operated by FRANCHISEE pursuant to this Agreement.
B. "ATFC agency" means the Agency and any other staffing agency operating under the System and Marks, whether owned by ATFC or any affiliate, or licensed or franchised by ATFC or any affiliate.
C. "Customer Adjustment" means any amount of credit or refund which FRANCHISEE issues to a customer due to a customer complaint that is reasonably necessary to maintain customer relations.
Customer Adjustment does not include bad debts or uncollectible accounts which are FRANCHISEE's sole responsibility.
- D. "FRANCHISEE" shall be deemed to include: (a) those persons and their spouses owning any interest in a corporate franchisee or a limited liability company; (b) all partners and their spouses owning any interest in a partnership franchisee; (c) the individual who owns a sole proprietorship franchisee and his or her spouse; and (d) the guarantors of this Agreement.
For purposes of determining ownership in a franchise, the interests owned by a husband and wife shall be considered one interest, and both husband and wife shall be obligated hereunder, regardless of whether the interest is owned by just one spouse or both spouses.
E. "Funding Agreement" means the Funding Agreement entered into between the FRANCHISEE and ATFC in order for ATFC to provide payroll funding for the Agency.
F. "Marks" means such service marks, trademarks, trade dress, trade names and copyrights, or any marks which may be considered confusingly similar thereto, as may presently exist, or which may be modified, changed, or acquired by ATFC or its affiliates for use in connection with the operation of the Agency.
Source: Item 22 — CONTRACTS (FDD pages 33–34)
What This Means (2025 FDD)
According to All Team's 2025 Franchise Disclosure Document, the 'Agency' refers to the business owned and operated by the franchisee under the franchise agreement. The franchisee is granted the right to operate a temporary and permanent employment agency using All Team's Marks and System.
Specifically, the franchisee agrees to operate, advertise, and promote the Agency business under names designated by All Team, such as "Resources in Food/RIF", "Food Team", "All Team" "All Team Staffing" and "Med Team Support Staffing". The franchisee must also identify the Agency with a sign approved by All Team and comply with all applicable laws and regulations related to the Agency.
All Team and the franchisee operate as independent contractors, with no partnership, fiduciary, joint venture, or employment relationship existing between them. The franchisee is responsible for conspicuously identifying itself as an independently owned business and an All Team franchisee. The franchisee is also responsible for all acts, omissions, debts, and obligations of the Agency and must indemnify All Team against any liabilities arising from the Agency's operation.