What documents are considered binding for a Best In Class Education Center franchise?

Question

Accepted Answer

| THE FRANCHISE RELATIONSHIP                                           |                       |                                                                                                                                                                                                                                                                                                                                                                                |  |  |  |
|----------------------------------------------------------------------------|-----------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--|--|--|
| PROVISION | SECTIONS IN AGREEMENT | SUMMARY |  |  |  |
| o. Our option to | FA: 22.2 | We have the option to purchase your Center at the expiration or termination of the Franchise Agreement. |  |  |  |
| purchase your | SOA: Not Applicable | We do not have an option to purchase your Satellite Office. |  |  |  |
| business | ADA: Not Applicable FA: 20.4 | We do not have an option to purchase your area development rights. Within 180 days, interest must be assigned to an assignee in compliance |  |  |  |
| p. Your death or | SOA: 5 & 10 | with conditions for other transfers. We may designate manager to operate |  |  |  |
| disability | ADA: 7.4 | the Center prior to transfer. |  |  |  |
| q. Non-competition | FA: 15.3 | No involvement in competing business (subject to state law). |  |  |  |
| covenants during | SOA: Not Applicable | The SOA does not impose any noncompetition covenants. |  |  |  |
| the term of the |  |  |  |  |  |
| franchise | ADA: Not Applicable | The ADA does not impose any noncompetition covenants. |  |  |  |
| r. Non-competition covenants after the franchise is terminated or | FA: 15.3 & 22.1 | No involvement for 2 years in a competing business: (a) from your Center or Satellite Office; (b) anywhere within a 25-mile radius from your Center, your Satellite Office or any other Center or Satellite Office that is open or under construction at the time your franchise terminates or expires (subject to state law). |  |  |  |
| expires | SOA: Not Applicable ADA: Not Applicable FA: 25.3 & 25.8 | The SOA does not impose any noncompetition covenants. The ADA does not impose any noncompetition covenants. Requires writing signed by both parties (except we may unilaterally |  |  |  |
| s. Modification of | SOA: 11(a) | change Manual or reduce scope of restrictive covenants). Other |  |  |  |
| the agreement | ADA: 12.7 FA: 25.8 | modifications primarily to comply with various states laws. Only the terms of the Franchise Agreement, SOA (if applicable), ADA (if applicable) and their attachments are binding (subject to state law). Any representations or promises made outside the Disclosure Document, Franchise Agreement, SOA and ADA may not be enforceable. Nothing in |  |  |  |
| t. Integration/ merger clause | SOA: 11(a) ADA: 12.7 | the Franchise Agreement, SOA, ADA or any related agreements is intended to disclaim any of the representations we made in this Disclosure Document. No statement, questionnaire or acknowledgment signed or agreed to by a franchisee in connection with the commencement of the franchise relationship shall have the effect of (a) waiving any claims under any applicable state franchise law, including fraud in the inducement or (b) disclaiming reliance on any statement made by any franchisor, franchise seller or other person acting on our behalf. This provision supersedes any other term of any document executed in connection with the franchise. |  |  |  |
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Source: Item 17 — RENEWAL, TERMINATION, TRANSFER, AND DISPUTE RESOLUTION (FDD pages 37–41)

What documents are considered binding for a Best In Class Education Center franchise?

Answer from 2025 FDD Document

What This Means (2025 FDD)

THE FRANCHISE RELATIONSHIP
PROVISION	SECTIONS IN AGREEMENT	SUMMARY
o. Our option to	FA: 22.2	We have the option to purchase your Center at the expiration or termination of the Franchise Agreement.
purchase your	SOA: Not Applicable	We do not have an option to purchase your Satellite Office.
business	ADA: Not Applicable FA: 20.4	We do not have an option to purchase your area development rights. Within 180 days, interest must be assigned to an assignee in compliance
p. Your death or	SOA: 5 & 10	with conditions for other transfers. We may designate manager to operate
disability	ADA: 7.4	the Center prior to transfer.
q. Non-competition	FA: 15.3	No involvement in competing business (subject to state law).
covenants during	SOA: Not Applicable	The SOA does not impose any noncompetition covenants.
the term of the
franchise	ADA: Not Applicable	The ADA does not impose any noncompetition covenants.
r. Non-competition covenants after the franchise is terminated or	FA: 15.3 & 22.1	No involvement for 2 years in a competing business: (a) from your Center or Satellite Office; (b) anywhere within a 25-mile radius from your Center, your Satellite Office or any other Center or Satellite Office that is open or under construction at the time your franchise terminates or expires (subject to state law).
expires	SOA: Not Applicable ADA: Not Applicable FA: 25.3 & 25.8	The SOA does not impose any noncompetition covenants. The ADA does not impose any noncompetition covenants. Requires writing signed by both parties (except we may unilaterally
s. Modification of	SOA: 11(a)	change Manual or reduce scope of restrictive covenants). Other
the agreement	ADA: 12.7 FA: 25.8	modifications primarily to comply with various states laws. Only the terms of the Franchise Agreement, SOA (if applicable), ADA (if applicable) and their attachments are binding (subject to state law). Any representations or promises made outside the Disclosure Document, Franchise Agreement, SOA and ADA may not be enforceable. Nothing in
t. Integration/ merger clause	SOA: 11(a) ADA: 12.7	the Franchise Agreement, SOA, ADA or any related agreements is intended to disclaim any of the representations we made in this Disclosure Document. No statement, questionnaire or acknowledgment signed or agreed to by a franchisee in connection with the commencement of the franchise relationship shall have the effect of (a) waiving any claims under any applicable state franchise law, including fraud in the inducement or (b) disclaiming reliance on any statement made by any franchisor, franchise seller or other person acting on our behalf. This provision supersedes any other term of any document executed in connection with the franchise.
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