factual

What is the C12 Group franchisee's responsibility regarding the franchisor's code of conduct?

C12_Group Franchise · 2025 FDD

Answer from 2025 FDD Document

Franchisee agrees to exercise best efforts to ensure that C12 members abide by Franchisor's code of conduct and support sound biblical doctrine.

Franchisee further agrees that, as leaders of leaders, C12 Area Chairs are required to abide by a covenant of "above reproach" conduct.

Behaviors that could be questionable or cause members/customers to stumble are to be avoided by Franchisee with a high degree of wisdom and prudence.

Specifically, Franchisee and its Area Chairs shall abstain from the use of all smoking products.

Franchisor and Franchisee agree that these are not biblical mandates or evil but rather represent areas of personal sacrifice and restraint that Franchisor expects of all franchisees out of service to C12 members and preservation of Christian witness (see Romans 14:13; 1 Corinthians 8:9, 10:31-32; 2 Corinthians 6:3).

Breaches of this "above reproach" conduct, including moral turpitude, legal or illegal, are material grounds for immediate termination of thisagreement.

Source: Item 22 — CONTRACTS (FDD page 46)

What This Means (2025 FDD)

According to the 2025 C12 Group Franchise Disclosure Document, franchisees must use their best efforts to ensure that C12 Group members adhere to the franchisor's code of conduct and support sound biblical doctrine. This indicates that C12 Group franchisees are not only expected to follow the code of conduct themselves but also to actively promote and uphold it within their member groups.

Furthermore, as leaders of leaders, C12 Group Area Chairs are required to abide by a covenant of "above reproach" conduct. This means franchisees must avoid behaviors that could be questionable or cause members/customers to stumble, exercising wisdom and prudence in their actions. Specifically, franchisees and their Area Chairs must abstain from using all smoking products. While these aren't considered biblical mandates, C12 Group expects these personal sacrifices and restraints from all franchisees to serve C12 Group members and preserve Christian witness.

Breaches of this "above reproach" conduct, including moral turpitude, whether legal or illegal, are material grounds for immediate termination of the franchise agreement. This underscores the importance C12 Group places on ethical and moral behavior, holding franchisees accountable to a high standard of conduct. This is stricter than many franchise systems, which may only terminate for legal violations or actions directly harming the business. C12 Group emphasizes adherence to Christian values and the impact on its community.

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.