Will a claim against Body20 be a valid defense against the enforcement of the non-compete covenants?
Body20 Franchise · 2025 FDDAnswer from 2025 FDD Document
You agree that the existence of any claim you may have against us, whether or not arising from this Agreement, will not constitute a defense to our enforcement of the covenants contained in this Section 12. You acknowledge that any breach or threatened breach of this Section 12 will cause us irreparable injury for which no adequate remedy at law is available, and you consent to the issuance of an injunction prohibiting any conduct violating the terms of this Section 12. Such injunctive relief will be in addition to any other remedies that we may have.
Source: Item 23 — RECEIPT (FDD pages 74–251)
What This Means (2025 FDD)
According to Body20's 2025 Franchise Disclosure Document, the existence of any claim a franchisee may have against Body20 will not constitute a defense to the enforcement of the non-compete covenants. This means that even if a franchisee believes Body20 has acted unfairly or breached the franchise agreement, they cannot use that as a reason to violate the non-compete agreement.
This provision is significant for prospective Body20 franchisees because it limits their legal options if they have a dispute with Body20. Even if Body20 is in the wrong, the franchisee must still abide by the non-compete agreement. This could prevent a franchisee from working in a similar business, even if Body20's actions have harmed their franchise.
Franchisees should be aware that Body20 views the non-compete covenants as critical for protecting their business interests. The FDD states that any breach or threatened breach of the non-compete covenants will cause irreparable injury to Body20, and Body20 is entitled to seek injunctive relief (a court order) to stop any violation. This highlights the importance Body20 places on enforcing these covenants and the potential legal consequences for franchisees who violate them.