Does the Belocal power of attorney survive the expiration, termination, or transfer of the agreement?
Belocal Franchise · 2025 FDDAnswer from 2025 FDD Document
- N.
Powers of Attorney.
Franchisee hereby appoints Franchisor as Franchisee's true and lawful attorney-in-fact, with full power and authority to assign to Franchisor upon the termination, expiration, or transfer of this Agreement all rights to any Online Presences (including social media accounts and webpages), telephone number(s) (including personal cellphone numbers), and any business listings related to or associated with the Franchised Business.
Such power of attorney shall survive the expiration, termination, or transfer of this Agreement, and Franchisee agrees to execute such forms and documents as Franchisor deems necessary to appoint Franchisor as Franchisee's true and lawful attorney-in-fact with full power and authority for the foregoing purposes.
Franchisor shall not assume any obligations for costs or expenses related to such Online Presences (including social media accounts and webpages), telephone number(s) (including personal cellphone numbers), and business listings that accrued prior to the date on which they were acquired by Franchisor.
Franchisee agrees to execute the form of Listing Assignment attached hereto as Attachment G.
Source: Item 22 — CONTRACTS (FDD page 71)
What This Means (2025 FDD)
According to Belocal's 2025 Franchise Disclosure Document, the power of attorney granted to Belocal by the franchisee does indeed survive the expiration, termination, or transfer of the Franchise Agreement. Specifically, the franchisee appoints Belocal as their attorney-in-fact with the authority to manage and assign online presences, social media accounts, webpages, telephone numbers, and business listings associated with the franchised business.
This means that upon the end of the franchise agreement, Belocal retains the right to control and transfer these digital assets. This is further supported by the franchisee's agreement to execute any necessary documents to formalize Belocal's power of attorney for these purposes.
However, Belocal clarifies that it will not be responsible for any costs or expenses related to these online presences, telephone numbers, and business listings that were incurred before the date Belocal acquired them. This ensures that the franchisee remains liable for any outstanding debts or obligations accrued before the transfer of control to Belocal.