Upon termination of the Chem-Dry COA, what is the franchisee required to do?
Chem_Dry Franchise · 2024 FDDAnswer from 2024 FDD Document
tered into by CDI solely as an accommodation to Franchisee and CDI may terminate this COA, with or without cause, upon sixty (60) days written notice to Franchisee. In the event this COA is terminated, Franchisee agrees to all franchise operations to office locations within the designated franchised areas for each Franchise with the timeframe indicated in CDI's notice.
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- In the event the Agreement pertaining to the Franchise where Franchisee's office is located pursuant to this COA either terminates or expires, Franchisee agrees to move its office immediately to another location that has been approved by CDI.
Source: Item 23 — Receipts (FDD pages 68–264)
What This Means (2024 FDD)
According to Chem-Dry's 2024 Franchise Disclosure Document, if the Chem-Dry Certificate of Affiliation (COA) is terminated, the franchisee must move all franchise operations to office locations within the designated franchised areas for each franchise within the timeframe indicated in CDI's notice.
Additionally, if the Agreement pertaining to the franchise where the franchisee's office is located terminates or expires, the franchisee must move its office immediately to another location approved by CDI.
These stipulations ensure that Chem-Dry franchisees maintain operations within approved locations and adhere to the brand's standards even after a COA termination, preventing any disruption to the Chem-Dry business and upholding the integrity of the franchise system.