Does the termination of a Brain Balance franchise due to default affect any other rights or remedies Brain Balance may have?
Brain_Balance Franchise · 2025 FDDAnswer from 2025 FDD Document
20.02. FRANCHISEE acknowledges that its franchise is one of a number of Brain Balance® Centers using COMPANY's service marks and style of conduct and that the failure on the part of FRANCHISEE to comply with any of the terms of this Agreement could cause irreparable damage to some or all of the other offices franchised or operated by COMPANY and to COMPANY's business. Therefore, and notwithstanding the provisions contained in Paragraph 20.01 above, FRANCHISEE agrees that upon the happening of any Non-Curable Default or Event of Default set forth in Section 17.01 or 17.02, or in the event of a threatened breach by FRANCHISEE of any of the terms of this Agreement, COMPANY shall have the immediate right to secure a court order enjoining any such default or threatened breach. If this Agreement shall have been terminated, FRANCHISEE may be enjoined from any continued operation of any Center franchised under this Agreement and/or the Franchised Business. This covenant shall be independent and severable and shall be enforceable notwithstanding any other rights or remedies that either party may have.
20.03. Each right or remedy granted to COMPANY by this Agreement is cumulative of all other rights or remedies given by this Agreement or by law or equity.
20.04. (a) If a claim for amounts owed by FRANCHISEE to COMPANY is asserted in any legal proceeding before a court of competent jurisdiction, then FRANCHISEE shall
Source: Item 22 — CONTRACTS (FDD pages 70–72)
What This Means (2025 FDD)
According to Brain Balance's 2025 Franchise Disclosure Document, the termination of the franchise agreement does not limit Brain Balance's other rights or remedies. Specifically, Brain Balance retains the right to seek injunctive relief to prevent a franchisee from breaching the agreement, even if the agreement is terminated. This means Brain Balance can pursue court orders to stop a franchisee from continuing operations or misusing their trademarks after termination.
Additionally, the franchise agreement states that each right or remedy granted to Brain Balance is cumulative, meaning they can use all available rights and remedies provided by the agreement, law, or equity. This ensures that Brain Balance has multiple avenues for recourse in case of a franchisee default or breach.
Furthermore, if Brain Balance has to pursue legal action to collect amounts owed by the franchisee, the franchisee is responsible for covering all associated costs and expenses, including reasonable attorney's fees. This provision is designed to protect Brain Balance's financial interests and ensure they are fully compensated for any losses incurred due to a franchisee's default.