If Beem Light Sauna delegates its obligations, who is responsible for ensuring performance?
Beem_Light_Sauna Franchise · 2025 FDDAnswer from 2025 FDD Document
- 17.16 Delegation.
We may delegate the performance of any or all of our obligations under this Agreement, and our right to exercise any of our rights under this Agreement, to an Affiliate, manager, agent, independent contractor, or other third-party.
However, we will remain responsible for ensuring that such obligations are performed in accordance with the terms of this Agreement.
Source: Item 23 — RECEIPT (FDD pages 71–230)
What This Means (2025 FDD)
According to the 2025 Beem Light Sauna Franchise Disclosure Document, Beem Light Sauna has the right to delegate its obligations under the Franchise Agreement. This means Beem Light Sauna can assign the performance of its duties or the exercise of its rights to an Affiliate, manager, agent, independent contractor, or other third party.
However, even if Beem Light Sauna delegates these responsibilities, it remains ultimately responsible for ensuring that all obligations are performed according to the terms outlined in the Franchise Agreement. This provision protects the franchisee by ensuring that Beem Light Sauna cannot avoid its contractual duties by simply assigning them to someone else.
This is a fairly standard clause in franchise agreements. It allows the franchisor flexibility in managing its business while still holding them accountable to the franchisee. A prospective Beem Light Sauna franchisee should understand that while the day-to-day interactions might be with a third-party, Beem Light Sauna is still legally obligated to ensure the franchise operates as promised in the agreement.