Can All Team ATFC modify the membership selection methods of the NAC?
All_Team Franchise · 2025 FDDAnswer from 2025 FDD Document
ATFC reserve the right, in its sole discretion, to establish and modify, from time to time, the duties, organization, form, manner of operation, membership, methods of member selection, and all other aspects of the NAC (other than eligibility for voting) pursuant to such governing documents as ATFC may provide. Any deadlocks in the NAC shall be resolved by the decision of the Director of NAC.
Source: Item 22 — CONTRACTS (FDD pages 33–34)
What This Means (2025 FDD)
According to All Team's 2025 Franchise Disclosure Document, ATFC (All Team Franchise Corporation) retains the right to modify the membership selection methods of the National Advertising Council (NAC). The NAC is responsible for making strategic planning decisions, while ATFC handles the day-to-day decisions to execute those plans.
The NAC consists of four members: three franchisees elected annually by all franchisees in the All Team system and the Director, who is an ATFC employee. Franchisee members are elected based on votes, with each compliant agency receiving one vote. The three franchisees with the most votes serve on the NAC, and ATFC resolves any ties.
ATFC reserves the right to modify various aspects of the NAC, including its duties, organization, form, manner of operation, membership, and methods of member selection. This means All Team has significant control over the NAC's composition and operation, except for the eligibility for voting. Any deadlocks within the NAC are resolved by the Director of NAC, who is an ATFC employee, further emphasizing ATFC's control. This structure ensures that All Team can adapt the NAC to meet the evolving needs of the franchise system.