factual

What is the legal basis for seeking 'injunctive relief' as a remedy for breach of the Bonchon agreement?

Bonchon Franchise · 2025 FDD

Answer from 2025 FDD Document

y claim or assertion that we have unreasonably withheld or delayed any consent or approval under this Franchise Agreement. You waive any such claim for damages. You may not claim any such damages by way of setoff, counterclaim or defense. Your sole remedy for the claim will be an action or proceeding to enforce the Agreement provisions, for specific performance or for declaratory judgment.

25. INJUNCTION

25.01 Injunction

You explicitly affirm and recognize the unique value and secondary meaning attached to the Bonchon System and the Proprietary Marks. Accordingly, you agree that any noncompliance by you with the terms of this Agreement, or any unauthorized or improper use of the Bonchon System or the Proprietary Marks by you, will cause irreparable damage to us and other Bonchon System franchisees. You therefore agree that if you engage in this non-compliance, or unauthorized and/or improper use of the Bonchon System or Proprietary Marks, during or after the term of this Agreement, we and our affiliates will be entitled to both temporary and permanent injunctive relief against you from any court of competent jurisdiction, in addition to all other remedies which we may have at law.

Source: Item 23 — RECEIPTS (FDD pages 92–536)

What This Means (2025 FDD)

According to Bonchon's 2025 Franchise Disclosure Document, the legal basis for seeking injunctive relief as a remedy for breach of the agreement is rooted in the recognition of the unique value of the Bonchon system and its proprietary marks. Bonchon asserts that any non-compliance with the franchise agreement or unauthorized use of the Bonchon system or proprietary marks by a franchisee will cause irreparable damage to Bonchon and its other franchisees.

Because of the potential for irreparable harm, Bonchon is entitled to seek both temporary and permanent injunctive relief against a franchisee from any court of competent jurisdiction. This is in addition to any other legal remedies available to Bonchon. The franchisee consents to the entry of these injunctions without Bonchon needing to post a bond or prove that monetary damages would be an adequate remedy.

Furthermore, the franchisee is responsible for covering all costs and expenses, including reasonable attorney's fees, that Bonchon or its affiliates incur while securing the injunctive relief. This clause emphasizes the importance Bonchon places on protecting its brand and system, and it outlines the specific legal recourse available to Bonchon in cases of franchisee non-compliance or misuse of intellectual property.

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.