What must a C12 Group franchisee do with the franchisor's materials upon termination of the agreement?
C12_Group Franchise · 2025 FDDAnswer from 2025 FDD Document
hisor and making progress regarding the specific Business Plan Goals and Action Plan Goals that Franchisee established with Franchisor during Training Week.
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- Obligations Upon Termination. Upon termination of this Agreement for any reason, Franchisee shall perform the following:
- a. Franchisee shall immediately cease using all programs, process formats, materials, forms, manuals, systems, slogans, signs, marks, symbols, websites, or designs used with the C12 Franchised Business and return all manuals and member information to Franchisor.
- b. Franchisee shall pay Franchisor all past-due amounts plus late fees and interest as applicable.
- c. Franchisee shall maintain the confidentiality of all C12 proprietary material or confidential business process or member information related to Franchisee's prior C12 Franchised Business as required by Section IV.8.c. of this Agreement.
- d.
Source: Item 22 — CONTRACTS (FDD page 46)
What This Means (2025 FDD)
According to C12 Group's 2025 Franchise Disclosure Document, upon termination of the franchise agreement, a franchisee has specific obligations regarding C12 Group's proprietary materials. The franchisee must immediately stop using all programs, process formats, materials, forms, manuals, systems, slogans, signs, marks, symbols, websites, or designs associated with the C12 Franchised Business. Additionally, the franchisee is required to return all manuals and member information to C12 Group.
C12 Group also requires that the franchisee maintain the confidentiality of all C12 proprietary material, confidential business processes, and member information, as outlined in Section IV.8.c of the agreement. The franchisee must also follow a specific post-termination process for communicating the termination to their C12 members, as detailed in Section IV.8.c of the agreement.
Furthermore, C12 Group states that the franchisee must return or destroy all such materials if the Agreement is terminated for any reason. The FDD states that the franchisee will, upon termination of this Agreement, without limiting any other obligations under this Agreement, return or destroy all unused C12 materials and provide C12 Group with all member contact information. This dual requirement provides C12 Group with the option to either have the materials returned for their use or ensure they are destroyed to protect proprietary information.