What is the C12 Group franchisee's obligation regarding member records?
C12_Group Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee shall maintain current information on Franchisor's website(s) regarding Franchisee, Franchisee's local group meeting locations and times, local C12 events and news, and provide every C12 member an opportunity to participate in any global C12 web functionality (e.g., search for other members, benchmarking, bulletin board/blog functions, etc.).
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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.
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. Franchisee shall follow the post-termination process for communicating the termination of this Agreement with Franchisee's C12 members as outlined in Section IV.8.c. of this Agreement.
Franchisee shall conduct itself in any such transition so that the best interests of the group members are served and that Kingdom unity and fellowship are preserved; and (d) Franchisee shall cease using all C12 materials, trade names and marks, and implying any association with C12.
Source: Item 22 — CONTRACTS (FDD page 46)
What This Means (2025 FDD)
According to the 2025 FDD, C12 Group franchisees have several obligations regarding member records, both during the term of the agreement and upon termination. During the franchise term, franchisees must maintain current information on C12 Group's websites regarding themselves, their local group meeting locations and times, local C12 events and news. They must also provide every C12 member an opportunity to participate in any global C12 web functionality, such as searching for other members or using benchmarking and bulletin board/blog functions. This ensures that members have access to up-to-date information and can fully participate in the C12 Group network. Franchisees must also keep necessary records to certify a member's 'member in good standing' status over a twelve-month period if they offer a money-back guarantee.
Upon termination of the Franchise Agreement, the C12 Group franchisee has specific duties regarding member information. The franchisee must return all manuals and member information to C12 Group. They must also maintain the confidentiality of all C12 proprietary material or confidential business process or member information related to their prior C12 Franchised Business. Furthermore, the franchisee must follow the post-termination process for communicating the termination of the agreement with their C12 members.
These requirements ensure the protection of confidential information and a smooth transition for members in the event of a franchise termination. The franchisee is obligated to act in the best interests of the group members and preserve Kingdom unity and fellowship during the transition. The franchisee must also notify all members in their territory of their decision to leave C12 and inform them of their option to continue participating in CEO Forums and Key Player Forums led by a subsequent Area Chair appointed by C12 Group.