What must I immediately deliver to Chatime upon termination or expiration of the franchise agreement?
Chatime Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee agrees that upon the termination or expiration of this Agreement, it will:
- (2) Immediately deliver to Franchisor:
- (a) All copies of the Operations Manual, the Operations Manual Addendum, and Global Policies and Procedures (contained in any medium) and once delivered to Franchisor, uninstall and permanently delete any copies of the Operations Manual, the Operations Manual Addendum, and Global Policies and Procedures electronically stored by Franchisee;
- (b) All forms, stationery, business cards, advertising material, and any other printed matter and signs used by Franchisee which bear the Network Name or any of the Marks;
- (c) The original and all copies of databases and all lists held by Franchisee of suppliers to the Network; and
- (d) All other property of Franchisor;
Source: Item 23 — Receipts (FDD pages 58–262)
What This Means (2025 FDD)
According to Chatime's 2025 Franchise Disclosure Document, upon termination or expiration of the franchise agreement, a franchisee must immediately deliver specific items to Chatime. These include all copies of the Operations Manual, the Operations Manual Addendum, and Global Policies and Procedures, regardless of the medium in which they are stored. The franchisee must also uninstall and permanently delete any electronically stored copies of these documents.
Additionally, the franchisee must hand over all forms, stationery, business cards, advertising material, and any other printed matter and signs that bear the Chatime Network Name or any of the Marks. This ensures that the franchisee ceases to represent themselves as being associated with the Chatime brand. The franchisee is also required to provide the original and all copies of databases and all lists held by the franchisee of suppliers to the Chatime Network.
Finally, the franchisee must deliver all other property of Chatime. These requirements ensure that Chatime regains control over its proprietary information, branding, and supplier relationships following the termination or expiration of the franchise agreement. This is a standard practice in franchising to protect the brand and operational integrity of the franchise system.