What is the meaning of 'Indiana Acts' in the Care Plus Medical Ucc agreement?
Care_Plus_Medical_Ucc Franchise · 2024 FDDAnswer from 2024 FDD Document
INDIANA RIDER TO FRANCHISE AND MULTI-UNIT DEVELOPMENT AGREEMENT
This Rider amends the Franchise and Multi-Unit Development Agreement dated (the "Agreement"), between Care Plus Medical UCC, LLC, a Wyoming Limited Liability Company ("Care Plus Medical UCC") and, a ("Franchisee").
- **1.
Definitions.** Capitalized terms used but not defined in this Rider have the meanings given in the Agreement.
The "Indiana Acts" means the Indiana Franchise Act and the Indiana Deceptive Franchise Practices Act.
- **2.
Certain Provisions Modified.** Any provision of the Agreement which would have any of the following effects is hereby modified to the extent required for the Agreement to be in compliance with the Indiana Acts:
- (1) Requiring goods, supplies, inventories, or services to be purchased exclusively from the franchisor or sources designated by the franchisor where such goods, supplies, inventories, or services of comparable quality are available from sources other than those designated by the franchisor.
However, the publication by the franchisor of a list of approved suppliers of goods, supplies, inventories, or services or the requirement that such goods, supplies, inventories, or services comply with specifications and standards prescribed by the franchisor does not constitute designation of a source nor does a reasonable right of the franchisor to disapprove a supplier constitute a designation.
This subdivision does not apply to the principal goods, supplies, inventories, or services manufactured or trademarked by the franchisor.
(2) Allowing the franchisor to establish a franchisor-owned outlet engaged in a substantially identical business to that of the franchisee within the exclusive territory granted the franchisee by the franchise agreement; or, if no exclusive territory is designated, permitting the franchisor to compete unfairly with the franchisee within a reasonable area.
(3) Allowing substantial modification of the franchise agreement by the franchisor without the consent in writing of the franchisee.
Source: Item 22 — CONTRACTS (FDD page 41)
What This Means (2024 FDD)
According to Care Plus Medical Ucc's 2024 Franchise Disclosure Document, the "Indiana Acts" are specifically defined within the Indiana Rider to the Franchise and Multi-Unit Development Agreement. This rider serves to amend the original agreement to ensure compliance with Indiana state laws. The Indiana Acts are explicitly defined as the Indiana Franchise Act and the Indiana Deceptive Franchise Practices Act.
This definition is important for prospective franchisees in Indiana because it clarifies which state laws govern the franchise relationship. The rider modifies certain provisions of the standard agreement to align with these Indiana Acts. These modifications address key areas such as purchasing supplies, establishing franchisor-owned outlets, and making changes to the franchise agreement.
Specifically, the rider ensures that franchisees are not obligated to purchase goods exclusively from Care Plus Medical Ucc or its designated sources if comparable quality goods are available elsewhere. It also prevents Care Plus Medical Ucc from unfairly competing with franchisees within their designated territory and restricts substantial modifications to the franchise agreement without the franchisee's written consent. These modifications provide additional protections to Care Plus Medical Ucc franchisees operating in Indiana, ensuring compliance with state-specific franchise laws.