What is the Body20 franchisee required to do to the site immediately upon termination or expiration of the agreement?
Body20 Franchise · 2025 FDDAnswer from 2025 FDD Document
ther agree to sign general releases, in a form satisfactory to us, of any and all claims (to the extent permitted by Applicable Laws) against us, our Affiliates, and our and their respective owners, officers, directors, employees, agents, representatives, successors, and assigns.
- (e) Assignment. We may assign our rights under this Section 15.7 (Our Right to Purchase Studio Assets) to any individual or Entity (who may be our Affiliate), and that person or Entity will have all of the rights and obligations under this Section 15.7.
- 15.8 De-identification of the Site. If we do not exercise our option to acquire the Site Lease or the Site, you will make such modifications or alterations to the Site immediately upon termination or expiration of this Agreement that we deem necessary to distinguish the appearance of the Site from a Studio, including removing the signs, the Marks, and any Trade Dress so as to indicate to the public that you are no longer associated with us.
Source: Item 23 — RECEIPT (FDD pages 74–251)
What This Means (2025 FDD)
According to the 2025 Body20 Franchise Disclosure Document, if Body20 does not exercise its option to acquire the Site Lease or the Site, the franchisee must immediately make modifications or alterations to the site upon termination or expiration of the agreement. These changes must effectively distinguish the appearance of the site from a Body20 studio. This includes removing signs, Marks, and any Trade Dress to clearly indicate to the public that the location is no longer associated with Body20.
If a franchisee fails to comply with these de-identification requirements, Body20 has the right to enter the studio to make the necessary changes without being considered a trespasser. Furthermore, Body20 can charge the franchisee up to 120% of the costs and expenses incurred by Body20 and its affiliates in making these changes. This provision ensures that Body20 can quickly and effectively disassociate a former franchise location from its brand, protecting its image and preventing consumer confusion.
In addition to physical alterations, the franchisee is prohibited from identifying themselves as a former Body20 franchisee or using any of Body20's Marks. This includes preventing any individual connected with the franchisee from implying any past association with Body20. These measures are designed to protect Body20's brand identity and prevent any potential misuse of its intellectual property after the franchise agreement ends.