Which sections of the Card My Yard agreement continue after termination or expiration?
Card_My_Yard Franchise · 2025 FDDAnswer from 2025 FDD Document
esponsible for any costs, expenses, damages or other liabilities incurred by you or us as a result of, or in connection with, your failure to comply with any PCI standards.
- G. Powers of Attorney. You hereby appoint us as your true and lawful attorney-in-fact, with full power and authority (i) to assign to us upon the termination or expiration of this Agreement (a) all rights to the telephone numbers of the Card My Yard business, any related business listings, and all rights to any website listings or services, search engines or systems, and any other business listings related to the Card My Yard business and (b) at our option, your interest in any lease for the Franchise Location and any equipment used in the operation of the Card My Yard business; and (ii) to obtain any and all returns and reports related to the Card My Yard business that you file with any local, state or federal taxing authority. Such powers of attorney shall survive the expiration or termination of this Agreement, and you agree to execute such forms and documents as we deem necessary to appoint us your true and lawful attorney-in-fact with full power and authority for the foregoing purposes.
- H. Continuing Obligations. You and your Owners make the foregoing representations, warranties and covenants understanding that such representations, warranties and covenants are continuing obligations. You agree to cooperate with us to verify your and your Owners' continuing compliance with such representations, warranties and covenants. Any failure to comply with these representations, warranties and covenants will constitute a material event of default under this Agreement.
VIII. OPERATIONS
A. Training. Your Principal Owner and General Manager must successfully complete our initial online training program before the Opening Date. Any successor or replacement Principal Owner or General Manager must successfully complete our initial online training program within a reasonable time after such persons are designated, provided that each successor or replacement must successfully complete training no more than sixty (60) days after the date on which his or her predecessor ceased to be employed by you (or ceased to serve as Principal Owner, as applicable). These persons, and any of your other personnel whom we may designate, must complete any additional training that we may require from time to time. In addition, we may, at our option, conduct periodic franchisee conventions at a location designated by us, and your Principal Owner and/or General Manager must attend such conventions.
Source: Item 23 — RECEIPTS (FDD pages 84–259)
What This Means (2025 FDD)
According to the 2025 Card My Yard Franchise Disclosure Document, certain obligations and rights persist even after the franchise agreement concludes. Specifically, Card My Yard retains the power of attorney to manage telephone numbers, business listings, website services, and potentially lease agreements and equipment associated with the Card My Yard business. This ensures a smooth transition and protects Card My Yard's brand assets.
Moreover, the franchisee's representations, warranties, and covenants remain in effect, requiring ongoing cooperation to verify compliance. This means that even after the agreement ends, the franchisee can still be held accountable for any breaches of these obligations.
Additionally, for a period of two years post-termination, franchisees and their owners are restricted from engaging in any business that competes with Card My Yard or from diverting customers. This non-compete clause safeguards Card My Yard's market share and goodwill.
These continuing obligations are typical in franchise agreements to protect the franchisor's brand, customer relationships, and proprietary information, even after a franchisee exits the system. Prospective franchisees should carefully review these post-termination clauses to understand the full scope of their responsibilities and restrictions.