What are the payment obligations that a City Publications franchisee must be current on to participate in promotional campaigns or discounted offerings?
City_Publications Franchise · 2025 FDDAnswer from 2025 FDD Document
ee 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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Source: Item 23 — RECEIPT (FDD pages 39–129)
What This Means (2025 FDD)
According to City Publications' 2025 Franchise Disclosure Document, a franchisee must promptly pay all sums owing to City Publications. This requirement is crucial, as failure to maintain current payments can lead to significant repercussions.
Specifically, if a City Publications franchisee's agreement is terminated due to any default, the franchisee is liable for all damages, costs, and expenses, including reasonable attorneys' fees, incurred by City Publications as a result of the default. This means that any outstanding payments, along with the costs associated with recovering those payments, become the franchisee's responsibility.
Moreover, the franchisee is responsible for covering all damages, costs, and expenses, including reasonable attorneys' fees, that City Publications incurs while seeking injunctive or other relief to enforce any provisions of the franchise agreement after termination or expiration. Therefore, staying current on all payments is essential for a City Publications franchisee to avoid potential legal and financial liabilities, although the document does not specifically state that being current on payments is required to participate in promotional campaigns or discounted offerings.