What happens to the rights granted to the City Publications franchisee upon termination or expiration of the agreement?
City_Publications Franchise · 2025 FDDAnswer from 2025 FDD Document
e or equivalent registration filed with state, city or county authorities which contains the name "CITY PUBLICATIONS" or any of the Marks, and Franchisee shall furnish Franchisor with evidence satisfactory to Franchisor of compliance with this obligation within thirty (30) days after termination or expiration of this Agreement.
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- Franchisee shall relinquish or transfer to Franchisor or its designee, at Franchisor's discretion, the Franchised Business telephone number and notify the telephone service provider and all listing agencies of the termination or expiration of Franchisee's rights to use any telephone number or any telephone directory listings associated with the "CITY PUBLICATIONS" name or any of the Marks and shall authorize transfer of the same to Franchisor or at Franchisor's direction.
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- Franchisor shall have the right to enter any premises leased for the Franchised Business. Additionally, upon demand by Franchisor, Franchisee shall assign (or, if an assignment is prohibited, sublease for the full remaining term and on the same terms and conditions as Franchisee's lease) its interest in the lease then in effect for the premises of the Franchised Business to Franchisor, and Franchisee shall furnish Franchisor with evidence satisfactory to Franchisor of compliance with this obligation within thirty (30) days after termination or expiration of this Agreement. Franchisor shall have the right to make rental and other payments directly to the landlord or other party to whom such payment is ultimately due.
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- Franchisee shall promptly pay all sums owing to Franchisor. In the event of termination for any default of Franchisee, such sums shall include, but not be limited to, all damages, costs and expenses, including reasonable attorneys' fees and other expenses incurred by Franchisor as a result of the default.
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- Franchisee shall pay to Franchisor all damages, costs and expenses, including reasonable attorneys' fees, incurred by Franchisor subsequent to the termination or expiration of the Franchise herein granted in obtaining injunctive or other relief for the enforcement of any provisions of this Section 19.
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- Franchisee shall immediately turn over to Franchisor the Manual, all Confidential Information, all copyrighted or proprietary materials, all customer lists and other intangible assets related to the Franchised Business, and all other records, files, instructions, brochures, agreements, disclosure statements and any other materials provided by Franchisor to Franchisee relating to the operation of the Franchised Business (all of which are acknowledged to be Franchisor's property).
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- Franchisee shall comply with the covenants contained in Section 17. of this Agreement.
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- Franchisor shall have the right, at its discretion, to complete and deliver any unfinished orders of the Franchised Business at the time of termination. Franchisee will immediately, upon Franchisor's request, turn over to Franchisor all materials necessary for Franchisor's exercise of its right to complete and deliver said orders in a timely manner. Franchisor will be entitled to any amounts prepaid or receivable for such orders.
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- Upon termination, cancellation or expiration of this Agreement, Franchisee shall cease to use all related websites, social media accounts, digital marketing and other branding assets associated with the Franchise. Franchisee shall give full access and transfer ownership to all related accounts and materials to Franchisor.
Source: Item 23 — RECEIPT (FDD pages 39–129)
What This Means (2025 FDD)
According to City Publications' 2025 Franchise Disclosure Document, several obligations arise for the franchisee upon termination or expiration of the franchise agreement. The franchisee must discontinue using the City Publications name and marks, and provide evidence of compliance to City Publications within 30 days of termination or expiration. The franchisee must also transfer the franchised business telephone number to City Publications.
Additionally, City Publications has the right to enter any premises leased for the franchised business. Upon demand, the franchisee must assign or sublease their interest in the lease to City Publications, providing evidence of compliance within 30 days of termination or expiration. City Publications can then make rental and other payments directly to the landlord.
Furthermore, the franchisee is responsible for paying all sums owed to City Publications, including damages, costs, and attorney's fees resulting from any default. The franchisee must also cover all damages, costs, and expenses, including reasonable attorney's fees, incurred by City Publications in enforcing the provisions of the franchise agreement after termination or expiration.
Finally, for a period of two years after the termination or expiration of the agreement, the franchisee is restricted from engaging in any competitive business within their exclusive territory or within 25 miles of any other City Publications franchise. They are also prohibited from hiring or soliciting employees of City Publications or other franchisees, and from soliciting business from customers of their former City Publications business or other City Publications businesses.