What happens to all rights granted to the Boulder Designs franchisee upon termination, non-renewal, or expiration of the agreement?
Boulder_Designs Franchise · 2025 FDDAnswer from 2025 FDD Document
Except as otherwise provided herein, upon termination and non-renewal or expiration, this Agreement and all rights granted herein to Franchisee shall terminate and Franchisee shall:
i. immediately cease to operate the Franchised Business, shutter any office to the public, and shall not thereafter, directly or indirectly, represent to the public or hold itself out as a present or Former Franchisee of Franchisor;
ii. deliver to Franchisor, all information, including any contracts, e-mail transmissions, written memorandums, customer sheets, or any other written or electronic data regarding customer lists or marketing efforts;
iii. refrain from taking any action to reduce the goodwill of Franchisee's Customers or potential Customers, towards Franchisor, other Franchisees or any other aspect of the System;
iv. cease to use the Confidential Information, the System and the Marks including, without limitation, all signs, slogans, symbols, logos, advertising materials, stationery, forms and any other items which display or are associated with the Marks;
v. immediately take such action as may be necessary to cancel or assign to Franchisor, at Franchisor's option, any fictitious or assumed name or equivalent registration filed with state, city or county authorities which contains the name "Boulder Designs" or any other Mark, and Franchisee shall furnish Franchisor with evidence satisfactory to Franchisor of compliance with this obligation within five days after termination or expiration of this Agreement;
vi. pay all sums owing, after the Effective Date of Termination or Expiration of this Agreement through the date that Franchisee completes all post termination obligations required under this Agreement, to Franchisor, and any Affiliate, which may include, but not be limited to, all damages, liquidated damages, costs and expenses, unpaid Royalty Fees, Marketing Fee, Technology Fee, or any other amounts due to Franchisor or any Affiliate within five (5) days after Termination or expiration of this Agreement or the date on which Franchisee completes all post-termination obligations required under this Agreement, whichever occurs first;
Source: Item 22 — CONTRACTS (FDD page 50)
What This Means (2025 FDD)
According to Boulder Designs's 2025 Franchise Disclosure Document, upon termination, non-renewal, or expiration of the Franchise Agreement, all rights granted to the franchisee terminate, unless otherwise provided in the agreement. The franchisee must immediately cease operating the franchised business and close any office open to the public. The franchisee is prohibited from representing themselves as a current or former Boulder Designs franchisee.
The franchisee is obligated to deliver all information to Boulder Designs, including contracts, emails, written memorandums, customer sheets, and any other written or electronic data regarding customer lists or marketing efforts. They must also refrain from any action that could reduce the goodwill of customers or potential customers toward Boulder Designs, its franchisees, or any aspect of the system. The franchisee must stop using all confidential information, the system, and the marks, including signs, slogans, logos, advertising materials, and stationery.
Additionally, the franchisee must take necessary actions to cancel or assign to Boulder Designs any assumed name registrations containing "Boulder Designs" or any other mark, providing satisfactory evidence of compliance within five days of termination or expiration. All sums owed to Boulder Designs or its affiliates, including damages, unpaid royalty fees, marketing fees, and technology fees, must be paid within five days after termination or expiration or the date all post-termination obligations are completed, whichever is earlier.