factual

What are some examples of services or benefits that Belocal can limit or remove?

Belocal Franchise · 2025 FDD

Answer from 2025 FDD Document

Limitation of Services or Benefits.

Franchisor shall have the right, but not the obligation, to temporarily or permanently limit or remove certain services or benefits provided by Franchisor or Franchisor's affiliates, or required to be provided by Franchisor, to Franchisee hereunder in lieu of exercising its right to terminate this Agreement, including, without limitation, eliminating any Online Presences associated with the Publication or the Franchised Business, restricting or removing Franchisee's right to purchase products directly or indirectly from Franchisor or its affiliates, limiting Franchisor's advertising and promotional assistance, restricting or removing Franchisee's right to use Franchisor's Software Programs or Franchisor-provided Technology, if any, and publishing the Publication.

Nothing in this Section constitutes a waiver of any other right or remedy of Franchisor under this Agreement or at law.

Franchisee acknowledges that Franchisor's exercise of its rights pursuant to this Section 10.H. shall not be deemed a constructive termination.

Any services or benefits removed or limited pursuant to this Section 10.H. may be reinstated at any time in Franchisor's sole discretion.

Source: Item 22 — CONTRACTS (FDD page 71)

What This Means (2025 FDD)

According to Belocal's 2025 Franchise Disclosure Document, Belocal has the right to temporarily or permanently limit or remove certain services or benefits that they or their affiliates provide to the franchisee. This is an alternative to terminating the franchise agreement.

Examples of services or benefits that Belocal can limit or remove include eliminating any online presence associated with the publication or the franchised business. Belocal can also restrict or remove the franchisee's right to purchase products directly or indirectly from Belocal or its affiliates. Additionally, Belocal can limit advertising and promotional assistance, restrict or remove the franchisee's right to use Belocal's software programs or technology, and cease publishing the publication.

The FDD states that the exercise of these rights by Belocal does not constitute a constructive termination of the agreement. Any services or benefits that are removed or limited can be reinstated at any time at Belocal's discretion. This clause gives Belocal considerable latitude to modify the support and resources a franchisee receives, potentially impacting the franchisee's business operations and profitability.

Disclaimer: This information is extracted from the 2025 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.