factual

Who benefits from the obligations under the Azal Coffee agreement?

Azal_Coffee Franchise · 2024 FDD

Answer from 2024 FDD Document

e Franchisor is not directly or indirectly my employer and that the Franchisor is granted rights under this Agreement solely for the purpose of protecting the Azal Coffee Confidential Information and the Azal Coffee systems and brand.

    1. My obligations under this Agreement will be binding on me and my heirs and personal representatives and will inure to the benefit of the Company and the Franchisor and their successors and assigns. My obligations arising out of this Agreement are in addition to and are not in any manner limitations on all obligations not to use or disclose the Company's or the Franchisor's Confidential Information as provided by law, whether expressly or by implication.
    1. I acknowledge that my breach of this Agreement will cause the Company and/or Franchisor irreparable harm. I, therefore, agree that the Company and Franchisor are entitled to an injunction enjoining me and restraining me from performing and continuing to commit any violation or breach of this Agreement, in addition to any other rights and remedies either of them might have. Also, the Company and the Franchisor will be entitled to recover all costs and expenses from me, including actual attorneys' fees and costs incurred in enforcing this Agreement. These remedies are cumulative and not alternative and will be in addition to every remedy given under this Agreement, any other agreement between me and the Company, or now or later existing at law or in equity, by statute or otherwise. The election of one or more remedies will not constitute a waiver of any right to pursue other remedies.

Source: Item 23 — RECEIPTS (FDD pages 51–204)

What This Means (2024 FDD)

According to Azal Coffee's 2024 Franchise Disclosure Document, the obligations within the agreement primarily benefit the Company (the franchisee employer) and the Franchisor (Durar Investment, LLC). Specifically, the obligations are designed to protect Azal Coffee's confidential information, systems, and brand. This protection extends to the Franchisor, who owns the rights to the Azal Coffee systems and confidential information, and the Company, which operates the franchise.

The agreement stipulates that an employee's obligations are binding on them, their heirs, and personal representatives, and these obligations inure to the benefit of both the Company and the Franchisor, including their successors and assigns. This means that the benefits of the agreement are transferable to future owners or assignees of the Azal Coffee franchise or the Franchisor. The agreement also states that the Franchisor is a third-party beneficiary and has the right to independently enforce the agreement's provisions.

Furthermore, the document emphasizes that a breach of the agreement by the employee will cause irreparable harm to both the Company and the Franchisor. Consequently, both entities are entitled to injunctive relief and can recover all costs and expenses, including attorney's fees, incurred in enforcing the agreement. This underscores the importance of adhering to the obligations outlined in the agreement to protect the interests of both the Azal Coffee franchisee and the Franchisor.

Disclaimer: This information is extracted from the 2024 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.