What financial obligations does a former Amorino franchisee have after termination?
Amorino Franchise · 2025 FDDAnswer from 2025 FDD Document
hised Business, but may, in its sole discretion, condition such consent on satisfaction of any or all of the following:
- (1) All of your accrued monetary obligations to Amorino and its Affiliates, and all other outstanding obligations related to the Store shall be up to date, fully paid and satisfied.
- (2) You must be in full compliance with this Agreement and any other agreements between you and Amorino, its Affiliates and your suppliers.
Source: Item 22 — CONTRACTS (FDD pages 80–81)
What This Means (2025 FDD)
According to Amorino's 2025 Franchise Disclosure Document, a former franchisee has several financial obligations upon termination or expiration of the franchise agreement. The franchisee must ensure all accrued monetary obligations to Amorino and its affiliates are fully paid and satisfied. This includes any outstanding debts or financial responsibilities related to the store's operation.
Additionally, the franchisee is liable for a delay fee of $500 per day for each day they continue to violate the post-termination obligations outlined in the agreement. These obligations primarily relate to ceasing operations, removing Amorino's branding, and ensuring no confusion exists between their former Amorino franchise and any new business activity.
Furthermore, the franchisee must comply with all covenants contained in the agreement that survive termination, including those related to non-competition and non-solicitation. Failure to meet these obligations could result in further financial penalties or legal action from Amorino to protect its brand and system.