What is the weekly non-compliance fee that Care Plus Medical Ucc may charge after the initial fee?
Care_Plus_Medical_Ucc Franchise · 2024 FDDAnswer from 2024 FDD Document
e Plus Medical UCC may charge its thencurrent training fee. As of the date of this Agreement, the training fee is $450 per day.
- 4.5 Non-Compliance Fee. Care Plus Medical UCC may charge Franchisee $500 for any instance of non-compliance with the System Standards or this Agreement (other than Franchisee's non-payment of a fee owed to Care Plus Medical UCC) which Franchisee fails to cure after 30 days' notice. Thereafter, Care Plus Medical UCC may charge Franchisee $250 per week until Franchisee ceases such non-compliance. This fee is a reasonable estimate of Care Plus Medical UCC's internal cost of personnel time attributable to addressing the non-compliance, and it is not a penalty or estimate of all damages arising from Franchisee's breach. The non-compliance fe
Source: Item 22 — CONTRACTS (FDD page 41)
What This Means (2024 FDD)
According to Care Plus Medical Ucc's 2024 Franchise Disclosure Document, franchisees may be subject to a non-compliance fee for failing to adhere to System Standards or the Franchise Agreement. Initially, Care Plus Medical Ucc may charge $500 for any instance of non-compliance, provided the franchisee has been given 30 days' notice to correct the issue.
If the franchisee fails to rectify the non-compliance after the initial 30-day notice period, Care Plus Medical Ucc may impose an additional fee. This subsequent fee amounts to $250 per week and continues to accrue until the franchisee successfully addresses and ceases the non-compliant behavior.
The FDD specifies that this non-compliance fee is designed to cover Care Plus Medical Ucc's internal costs related to addressing the non-compliance and is not considered a penalty or a comprehensive estimate of all potential damages resulting from the franchisee's breach. Furthermore, the non-compliance fee is in addition to any other legal rights and remedies available to Care Plus Medical Ucc, including the possibility of default and termination of the Franchise Agreement.