factual

What happens if a Card My Yard franchisee operates the business at an unapproved location?

Card_My_Yard Franchise · 2025 FDD

Answer from 2025 FDD Document

  • (1) If you operate the Card My Yard business or sell any products or services authorized by us at any location other than the Franchise Location without our prior written consent;

  • (2) If you wish to operate your Card My Yard Business from a location that is not your primary residence, then before acquiring a site for the Card My Yard business, you must submit to us, in the form specified by us, a description of the site, evidence satisfactory to us demonstrating that the site satisfies our site selection guidelines, and such other information and materials as we may reasonably require,including, but notlimited to, a final, complete copy of the lease (which must incorporate a rider in substantially the form attached hereto as Exhibit F) or contract of sale for the site for your Card My Yard business.

Such lease or contract for sale may not be signed by you unless it includes a rider in substantially the form attached hereto as Exhibit F and is submitted to, and approved by, us in advance.

  • (3) We shall have fifteen (15) days after receiving all required site information to accept or reject, in our sole discretion, the proposed site as the location for your Card My Yard business.

No site may be used for a Card My Yard business unless it is first accepted in writing by us, and you shall not make any binding commitment with respect to a site for your Card My Yard business unless the site is first accepted in writing by us.

If we accept multiple sites for the Card My Yard business, you shall notify us in writing within five (5) days of the date of such acceptance of the site that you intend to acquire for the Card My Yard business.

You acknowledge that our acceptance of a prospective site and the rendering of assistance in the selection of a site does not constitute a representation, promise, warranty or guarantee, express or implied, by us that the Card My Yard business operated at that site will be profitable or otherwise successful.

  • (4) If you obtain rights to a site other than your home, then promptly following our acceptance of the site for your Card My Yard business, you shall acquire the site by purchase or lease, at your expense.

You agree to furnish to us a copy of the executed lease or contract of sale within ten (10) days after execution.

  • (5) After we accept the site and you acquire the site pursuant to this Agreement, the address of the site shall be entered on Exhibit C to this Agreement as the Franchise Location and the Protected Area around the Franchise Location will be described on Exhibit C.

Source: Item 23 — RECEIPTS (FDD pages 84–259)

What This Means (2025 FDD)

According to Card My Yard's 2025 Franchise Disclosure Document, operating the business or selling products/services at any location other than the approved Franchise Location, without prior written consent from Card My Yard, can result in consequences.

Card My Yard must first accept any site in writing before it can be used for business operations. The franchisee must submit a description of the site, evidence that it meets Card My Yard's site selection guidelines, and a complete copy of the lease or sales contract (including a specific rider) for approval. Card My Yard has 15 days to either accept or reject the proposed site. If the franchisee obtains rights to a site other than their home, they must acquire it by purchase or lease after Card My Yard's acceptance and provide a copy of the executed lease or contract within 10 days.

Once Card My Yard accepts the site and the franchisee acquires it, the address is added to Exhibit C of the Franchise Agreement as the official Franchise Location, and the Protected Area around it is described there. Operating from an unapproved location is a violation of the agreement. The FDD does not specify the exact consequences, but it is a breach of contract that could lead to penalties or termination of the franchise agreement.

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.