Is an Amorino franchisee required to maintain an operating account for payments?
Amorino Franchise · 2025 FDDAnswer from 2025 FDD Document
Operating Account; Electronic Fund Transfer.
You shall maintain one operating account to make all payments required by this Agreement, and shall participate in Amorino's then-current electronic funds transfer program authorizing Amorino to use a pre-authorized bank draft system for the operating account.
You agree to: (a) make sufficient funds available in the operating account no later than the Due Date for any required payments; and (b) perform such acts and sign and deliver such documents as are necessary to accomplish payment to Amorino by electronic funds transfer, including signing and delivering appropriate pre-authorized draft forms designated by Amorino as necessary to initiate debit and/or credit the operating account.
You acknowledge that notwithstanding the provisions of this Section 6, we have the right, in our sole discretion, to require you to pay any amounts owed to us under this Agreement by another
method, and you agree to comply with our payment instructions and procedures that we specify in the writing (including as may be specified in the Manual).
- N.
Payment Procedures.
Amorino shall determine the amount of the payments due to Amorino under this Agreement and shall provide notice to you (each a "Fee Notice") stating the applicable fees due and the Due Date.
If you disagree with the amount set forth in the Fee Notice, you may dispute such amount within three Business Days following your receipt of the Fee Notice by providing Amorino written notice of such disagreement together with relevant supporting evidence.
Your failure to provide timely written notice of your disagreement shall be irrevocable confirmation of the accuracy of the Fee Notice and obligation to pay.
On each Due Date, Amorino will transfer from your operating account the undisputed amount of fees reflected in the Fee Notice.
Source: Item 22 — CONTRACTS (FDD pages 80–81)
What This Means (2025 FDD)
According to Amorino's 2025 Franchise Disclosure Document, franchisees are required to maintain an operating account for making payments related to the franchise agreement. Amorino requires franchisees to participate in its electronic funds transfer program, which authorizes Amorino to use a pre-authorized bank draft system for the operating account.
As an Amorino franchisee, you must ensure sufficient funds are available in the operating account by the due date for any required payments. Franchisees are also required to sign and deliver documents necessary for electronic fund transfers, including pre-authorized draft forms designated by Amorino.
However, Amorino retains the right to require franchisees to pay amounts owed under the agreement through another method at its discretion, with franchisees obligated to comply with Amorino's specified payment instructions and procedures. Amorino will determine the payment amounts due and provide a Fee Notice to the franchisee, indicating the fees and due date. If a franchisee disagrees with the amount in the Fee Notice, they have three business days to provide written notice of the disagreement with supporting evidence; failure to do so confirms the accuracy of the Fee Notice and the obligation to pay. On the due date, Amorino will transfer the undisputed fees from the franchisee's operating account.