Who bears the cost of delivering branded materials back to Card My Yard after termination?
Card_My_Yard Franchise · 2025 FDDAnswer from 2025 FDD Document
nforcement of any provisions of this Article XIX., which obligation shall give rise to and remain a lien in favor of us against any and all of your assets, until such obligations are paid in full.
- (6) Promptly deliver to us all Manuals, Software Programs, Confidential Information, and other materials related to the operation of the Card My Yard business in your possession or control, and all copies thereof, all of which are acknowledged to be our property, and retain no copy or record of any of the foregoing, except your copy of this Agreement and of any correspondence between you and us and any other documents which you reasonably need for compliance with any provision of law. Such shall expressly include all branded materials, signs purchased from us, and all other materials relating to or arising out of the operation of the Card My Yard business, which must be delivered within ten (10) business days to us, at our cost.
- (7) Comply with the restrictions against the disclosure of Confidential Information and against competition contained in Article XI. of this Agreement and cause any other person required to execute similar covenants pursuant to Article XI. to also comply with such covenants.
Source: Item 23 — RECEIPTS (FDD pages 84–259)
What This Means (2025 FDD)
According to Card My Yard's 2025 Franchise Disclosure Document, upon termination of the franchise agreement, the franchisee is obligated to deliver specific materials back to Card My Yard. This includes manuals, software programs, confidential information, and other materials related to the business operation, including all branded materials and signs purchased from Card My Yard. These items must be delivered within ten business days.
Notably, the FDD states that Card My Yard will bear the cost of delivering these branded materials. This means that the franchisee is responsible for packaging and preparing the items for shipment, but Card My Yard will cover the expenses associated with shipping or transporting these materials back to them.
However, there is a separate clause regarding yard letters and yard signs. Card My Yard has the option to require the franchisee to transfer all yard letters and yard signs to them at no cost to Card My Yard, except that Card My Yard will pay reasonable shipping costs. This clause appears to contradict the earlier statement that Card My Yard will bear the cost of delivering branded materials. A prospective franchisee should seek clarification on which party is responsible for the delivery costs of branded materials after termination.