What happens if an Amorino franchisee or their Principal is convicted of a felony?
Amorino Franchise · 2025 FDDAnswer from 2025 FDD Document
- (13) you or any Principal or Manager is convicted of, or pleads guilty or no contest to, a felony, a crime involving moral turpitude, or any other crime or offense that Amorino believes is reasonably likely to have an adverse effect on the Franchised Business, System, Proprietary Marks, or reputation of Amorino;
Source: Item 22 — CONTRACTS (FDD pages 80–81)
What This Means (2025 FDD)
According to Amorino's 2025 Franchise Disclosure Document, if a franchisee, any Principal, or a Manager is convicted of a felony, pleads guilty, or pleads no contest to a felony, a crime involving moral turpitude, or any other crime or offense that Amorino believes is reasonably likely to have an adverse effect on the Franchised Business, System, Proprietary Marks, or reputation of Amorino, it can lead to the termination of the franchise agreement.
This provision protects Amorino's brand and reputation by ensuring that individuals associated with the franchise maintain a certain level of integrity. The determination of what constitutes a crime that could adversely affect the business is at Amorino's discretion, which introduces a degree of subjectivity. This clause is relatively standard in franchise agreements, as franchisors need to protect their brand from damage caused by the actions of franchisees or their key personnel.
For a prospective Amorino franchisee, this means that maintaining a clean criminal record is essential. Any past or future convictions of the types listed could jeopardize their investment and the operation of their Amorino franchise. It is important to fully understand this clause and seek legal counsel if there are any concerns about potential issues.