What is the deadline for an All Team franchisee to open additional offices to avoid termination with cause?
All_Team Franchise · 2025 FDDAnswer from 2025 FDD Document
A. Agency Openings. FRANCHISEE agrees to begin operation of the Agency and open its office within four (4) months after this Agreement is accepted by ATFC. Both the Temporary Services Business and the Permanent Placement Business will be operated out of the same office. Notwithstanding the foregoing, FRANCHISEE may elect to provide Temporary Service Business at the beginning of its operations. However, it must add the Permanent Placement Business no later than four (4) months after FRANCHISEE signs this Agreement. Opening may be delayed only if such delay is caused by contingencies not within the control of FRANCHISEE, such as, acts of God, governmental restrictions, strikes or labor disputes, about which ATFC is notified within a reasonable period time of such delay. FRANCHISEE shall use its best efforts to cure any such delay and any such delay in completion shall be for a period of days equal to the number of days during which such event actually prevents completion.
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 28–30)
What This Means (2025 FDD)
According to All Team's 2025 Franchise Disclosure Document, a franchisee can be terminated with cause if they do not open additional offices in a timely fashion. The specific timeframe to open an All Team agency is detailed in Section VIII.A of the Franchise Agreement. The franchisee must begin operation of the agency and open its office within four months after the agreement is accepted by All Team. The franchisee may elect to provide Temporary Service Business at the beginning of its operations, but must add the Permanent Placement Business no later than four months after signing the agreement.
Delays in opening the All Team franchise may be excused only if caused by events outside the franchisee's control, such as acts of God, governmental restrictions, strikes, or labor disputes. The franchisee must notify All Team of such delays within a reasonable time and use their best efforts to resolve the issue. The delay in completion will be excused for a period equal to the number of days the event actually prevents completion.
Prospective All Team franchisees should carefully review Section VIII.A of the Franchise Agreement to fully understand the obligations and potential consequences related to opening their agency in a timely manner. It is important to communicate promptly with All Team regarding any potential delays and to document all efforts to overcome these delays.