In the context of the receipt section for C3 Wellness Spa, who is the franchisor?
C3_Wellness_Spa Franchise · 2024 FDDAnswer from 2024 FDD Document
nature of Restricted Party | Individual Signature of Restricted Party | | | | Name (please print) | Name (please print) | | | | Date: | Date: | | |
Franchise Agreement – Exhibit 3 Site Selection Acknowledgment
C3 Wellness SITE SELECTION ACKNOWLEDGMENT
(THIS DOCUMENT DOES NOT CONSTITUTE THE APPROVAL OF A SPA LOCATION, DOES NOT GRANT OR DESIGNATE AN OPERATING TERRITORY AND DOES NOT GRANT ANY TERRITORIAL RIGHTS)
any third party the license or right to establish an C3 Wellness area constituting the Site Selection Area, as such term is defined in the Franchise Agreement: Pursuant to and subject to the terms of the Franchise Agreement dated by and between Aryes Franchising LLC, as Franchisor, and, as Franchisee (the "Franchise Agreement"), Franchisee has identified a potential area in which Franchisee may seek to identify a potential spa for Franchisee's C3 Wellness. Based on Franchisee's request, Franchisor agrees that during the limited period of time that commences on the Site Selection Acknowledgment Date and automatically expires 60 calendar days after the Site Selection Acknowledgment Date, that Franchisor shall not grant to Location within the following geographic Site Selection Area: [Must be completed by Franchisor] Franchise Agreement including, but not limited to Article 1 LOCATION AND DOES NOT AFFORD FRANCHISEE ANY TERRITORIAL RIGHTS.
Source: Item 23 — RECEIPTS (FDD pages 59–293)
What This Means (2024 FDD)
According to the 2024 C3 Wellness Spa Franchise Disclosure Document, Aryes Franchising LLC is the franchisor. This is clarified within the receipts section of the agreement, which outlines the roles and responsibilities of both the franchisor and the franchisee. Specifically, the document refers to instances where the franchisee identifies a potential site for their C3 Wellness Spa.
In these instances, Aryes Franchising LLC, as the franchisor, agrees not to grant another franchise within a defined geographic area for a limited time. This agreement is subject to the terms outlined in the franchise agreement. This acknowledgment does not grant any territorial rights to the franchisee, and the terms of the franchise agreement take precedence in case of any inconsistencies.
This arrangement is designed to provide the franchisee with a limited window to secure a location without direct competition from another C3 Wellness Spa franchise. However, it's crucial for potential franchisees to understand that this site selection acknowledgment does not guarantee an exclusive territory or approval of the site. The franchisee must still adhere to all terms and conditions of the franchise agreement, and the franchisor retains the right to make final decisions regarding site approval and territorial rights.