factual

What options must C12 Group members be informed of upon the franchisee's termination?

C12_Group Franchise · 2025 FDD

Answer from 2025 FDD Document

Upon the termination of this Agreement, the following shall apply: (a) all members in Franchisee's Territory must be notified of Franchisee's decision to leave C12 and they must be informed of their option to continue participating in CEO Forums and Key Player Forums led by a subsequent Area Chair to be appointed by Franchisor (Franchisor will formally present this option to the members, either collectively or individually); (b) members will be free to either remain C12 members or to make alternative CEO roundtable arrangements once they have been informed of their options; (c) 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 C12 Group Franchise Disclosure Document, upon the termination of the Franchise Agreement, all members within the franchisee's territory must be informed of the franchisee's departure from C12 Group. These members must be informed of their option to continue participating in CEO Forums and Key Player Forums. These forums will be led by a subsequent Area Chair appointed by C12 Group. C12 Group will formally present this option to the members, either collectively or individually.

Members are free to either remain C12 Group members or to make alternative CEO roundtable arrangements once they have been informed of their options. The franchisee is obligated to conduct themselves in any transition in a way that serves the best interests of the group members and preserves Kingdom unity and fellowship. The franchisee must also stop using all C12 Group materials, trade names and marks, and implying any association with C12 Group.

This ensures that members are aware of their choices and that the transition is handled professionally and ethically. This is fairly standard practice in franchising, as franchisors typically want to retain customers even if a franchisee leaves the system. This clause protects the C12 Group's relationship with its members and ensures business continuity within the territory.

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.