Where in the Franchise Agreement are the insurance requirements for a Care Plus Medical Ucc franchise detailed?
Care_Plus_Medical_Ucc Franchise · 2024 FDDAnswer from 2024 FDD Document
| Obligation | Section in agreement | Disclosure document item |
|---|---|---|
| Multi-Unit Development Agreement (MUDA): Not Applicable | ||
| b. Pre-opening purchase/leases | FA: §§ 6.2, 6.3 MUDA: Not Applicable | Items 5, 7, 8 and 11 |
| c. Site development and other pre-opening | FA: Article 6 | Items 5, 7, 8 and 11 |
| requirements | MUDA: §§1(a), 3 | |
| d. Initial and ongoing training | FA: §§ 5.4, 6.4, 7.6 MUDA: Not Applicable | Items 5, 6, 8 and 11 |
| e. Opening | FA: §§ 6.5, 6.6 MUDA: §1(a) | Items 7, 8 and 11 |
| f. Fees | FA: Article 4, §§ 5.5, 7.8, 10.5, 11.2, 11.3, 15.2, 16.1, 17.6 MUDA: §1(a) | Items 5, 6 and 7 |
| g. Compliance with standards and policies/operating manual | FA: §§ 6.3, 7.1, 7.3, 7.5, 7.9 –7.13, 7.15, 10.1, 10.4, 11.1 MUDA: Article 1 | Items 8, 11 and 14 |
| h. Trademarks and proprietary information | FA: Article 12, § 13.1 MUDA: Not Applicable | Items 13 and 14 |
| i. Restrictions on products/services offered | FA: § 7.3 MUDA: Not Applicable | Items 8, 11 and 16 |
| j. Warranty and customer service | FA: §§ 7.3, 7.8, 7.9 | Item 8 |
| requirements | MUDA: Not Applicable | |
| k. Territorial development and sales quotas | FA: Not applicable MUDA: §1(a), 4(ii) | Item 12 |
| l. Ongoing product/service purchases | FA: Article 8 MUDA: Not Applicable | Items 6 and 8 |
| m. Maintenance, appearance, and | FA: §§ 7.12, 7.13 | Items 6, 7 and 8 |
| remodeling requirements | MUDA: Not Applicable | |
| n. Insurance | FA: § 7.15 MUDA: Not Applicable | Items 6, 7 and 8 |
Source: Item 9 — FRANCHISEE'S OBLIGATIONS (FDD pages 20–22)
What This Means (2024 FDD)
According to Care Plus Medical Ucc's 2024 Franchise Disclosure Document, Item 9 outlines the franchisee's obligations. Specifically, the insurance requirements for a Care Plus Medical Ucc franchise are detailed in Section 7.15 of the Franchise Agreement.
This means that prospective franchisees can find the specific details regarding the types and amounts of insurance coverage they must maintain to operate their Care Plus Medical Ucc franchise by referring to this section of the agreement. Understanding these requirements is crucial, as failing to maintain adequate insurance could result in a breach of the Franchise Agreement.
It is typical in franchising for the franchisor to set minimum insurance requirements to protect the brand and the network from potential liabilities. Franchisees should carefully review Section 7.15 and consult with an insurance professional to ensure they can meet these requirements and understand the associated costs.