Besides termination, what other remedies does Amorino have if a franchisee breaches the agreement?
Amorino Franchise · 2025 FDDAnswer from 2025 FDD Document
vendor agreement, invoice, order, supply agreement, or subcontract, will be regarded as a default under this Agreement. In each of the foregoing cases, we and our affiliates will have all remedies allowed hereunder and at law, including termination of your rights (and/or those of any person/company affiliated with you) and our (and/or our affiliates') obligations. No right or remedy which we may have (including termination) is exclusive of any other right or remedy provided under law or equity and we may pursue any rights and/or remedies available.
- E. Our Right to Discontinue Services to You. If you are in breach of any obligation under this Agreement, or any agreement with any of our affiliates, and we or our affiliates deliver to you a notice of default, we and our affiliates have the right to suspend performance
of any of our or their obligations to you under any agreement with you, including, without limitation, the sale or supply of any services, products or ingredients for which we or our affiliates are an approved supplier to you and/or suspension of your listing or webpage on our Website, until such time as you correct the breach.
- F. Additional Remedies. In addition to, or in lieu of, termination of this Agreement, in its sole discretion, Amorino may require the Store be closed during any cure period relating to a default based on public health and safety concerns.
- G. Termination by Franchisee. Without Franchisor's written consent, Franchisee may not terminate this Agreement prior to the expiration of the term, except through legal process resulting from Franchisor's breach of this Agreement which breach results in a material adverse effect on Franchisee, and only under the following conditions: If (i) Franchisee is not currently in material breach of this Agreement or any other agreement between Franchisor and Franchisee and (ii) Franchisor materially breaches this Agreement and fails to cure such breach within one hundred and twenty (120) days (or such other reasonable time if additional time is required to cure such breach) after written notice of such breach, specifically enumerating all alleged deficiencies, is delivered to Franchisor by Franchisee, Franchisee may terminate this Agreement.
Source: Item 22 — CONTRACTS (FDD pages 80–81)
What This Means (2025 FDD)
According to Amorino's 2025 Franchise Disclosure Document, besides termination, Amorino has several other remedies if a franchisee breaches the franchise agreement. Amorino can suspend performance of its obligations, including the sale or supply of services, products, or ingredients, and suspend the franchisee's listing on Amorino's website until the breach is corrected. Amorino can also require the store to be closed during any cure period if the default relates to public health and safety concerns.
Additionally, any default under the franchise agreement, or any obligation owed to Amorino or its affiliates, is considered a default under the franchise agreement. This includes defaults under other agreements related to the franchised business, such as leases or vendor agreements. In cases of a franchisee's post-termination obligations violation, Amorino can charge a delay fee of $500 per day until the franchisee complies.
These remedies provide Amorino with various options to address franchisee breaches, ranging from temporary suspension of services to monetary penalties, offering flexibility in managing compliance and protecting the brand's interests. A prospective franchisee should be aware of these potential consequences and ensure they understand their obligations under the franchise agreement to avoid such remedies being enforced.