factual

In the All Team agreement, does a provision apply if an action is taken indirectly by a person?

All_Team Franchise · 2025 FDD

Answer from 2025 FDD Document

  • (b) When any provision of this Agreement requires or prohibits action to be taken by a person, the provision applies regardless of whether the action is taken directly or indirectly by the person.

Source: Item 22 — CONTRACTS (FDD pages 33–34)

What This Means (2025 FDD)

According to All Team's 2025 Franchise Disclosure Document, the franchise agreement specifies that any provision requiring or prohibiting an action applies regardless of whether the action is taken directly or indirectly. This means that franchisees cannot circumvent their obligations or prohibitions under the agreement by acting through another person or entity.

For a prospective All Team franchisee, this clause has significant implications. It reinforces that franchisees are responsible for ensuring compliance with the franchise agreement, not only through their own direct actions but also through the actions of anyone acting on their behalf or under their control. This could include employees, contractors, or even family members involved in the operation of the franchise.

This provision is designed to prevent franchisees from using intermediaries to bypass restrictions or requirements outlined in the franchise agreement. It ensures that All Team can enforce the terms of the agreement effectively, regardless of how a franchisee attempts to act. Franchisees should be aware of this provision and ensure that all individuals associated with their franchise operation understand and comply with the agreement's terms to avoid potential breaches and associated penalties.

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.