Where can I find the specific details regarding the local advertising and promotion requirements for a City Wide franchise?
City_Wide Franchise · 2025 FDDAnswer from 2025 FDD Document
Designated Territory will continue in full force and effect so long as this Agreement is in effect. Notwithstanding the above, CITY WIDE will provide Franchisee with a period not to exceed one (1) year to cure the breach in 7.15(a).
Franchisee acknowledges and agrees there exists a direct correlation between sales staffing and the financial success of a Franchised Business. Accordingly, Franchisee is required to meet the minimum staffing levels as set forth in the Operating Manual.
- 7.16 Promotions. Franchisee will use only business stationery, business cards, marketing materials, advertising materials, printed materials, and forms which have been supplied by a supplier designated or approved by CITY WIDE pursuant to Section 7.9 of this Agreement and which meet all standards of quality and other specifications of CITY WIDE. Franchisee will not employ any person to act as a representative of Franchisee in connection with the local promotion of the Franchised Business in any public media without the prior written approval of CITY WIDE. Franchisee will submit to CITY WIDE in a timely manner, all promotional and advertising materials to be used by Franchisee, which must be approved by CITY WIDE before their use. Such submission will give CITY WIDE a minimum of seven (7) business days to review and approve such material. If CITY WIDE does not respond to Franchisee's request within that time, Franchisee's proposed materials will be deemed disapproved.
- 7.17 Independent Ownership. In all advertising displays and materials used in the Franchised Business and in Franchisee's Designated Territory, Franchisee will, in such form and manner as may be
specified by CITY WIDE in the Operating Manual, notify the public that Franchisee is independently owned and is operating the business licensed under this Agreement as a franchisee of CITY WIDE and will identify Franchisee's Location in the manner specified by CITY WIDE in the Operating Manual.
- 7.18 Marketing Efforts. Franchisee will at all times actively promote the sale of System products and services at the Location and will use Franchisee's primary and best efforts to cultivate, develop, and expand the market for such products and services. Franchisee must participate in and cooperate in any marketing or promotional campaigns conducted by CITY WIDE unless Franchisee obtains prior written approval from CITY WIDE to opt out of any such campaign.
- 7.19 Total Revenue Retention Requirement. The total revenue retention of Franchisee's Franchised Business must not fall below seventy-seven and five-tenths percent (77.5%) for any rolling twenty-four (24) month period for Franchisee's Business ("Minimum Total Revenue Retention Requirement"), as determined by CITY WIDE in its sole and absolute discretion. Franchisee acknowledges and agrees that Franchisee's failure to comply with the Minimum Total Revenue Retention Requirement shall constitute a material default of this Agreement for which CITY WIDE may terminate this Agreement. In the event that Franchisee fails to comply with the Minimum Total Revenue Retention Requirement, CITY WIDE also reserves the right to take corrective action with respect to Franchisee's Franchised Business, which may include the implementation of a plan with which Franchisee agrees to comply. Franchisee may adjust the Minimum Total Revenue Retention Requirement upon a 30-day prior written notice to Franchisee based upon the increase in the Consumer Price Index as currently measured by the Index as defined below, but not to exceed 3%. For purposes of this section, "Index" shall mean (i) the increase in the Consumer Price Index for all Urban Consumers, U.S. City Average (1982-84 = 100) published by the Bureau of Labor Statistics of the United States Department of Labor. When the rate is increased, CITY WIDE will notify you and the increase will appear in the Manual.
- 7.20 Notification Requirements. Franchisee will notify CITY WIDE promptly in writing prior to taking legal action against any customer, supplier or independent contractor, and Franchisee will notify CITY WIDE promptly in writing of any legal action of any kind or nature, filed against Franchisee by anyone during the term or extension of this Agreement.
- 7.21 No Warranties.
Source: Item 22 — CONTRACTS (FDD page 65)
What This Means (2025 FDD)
According to City Wide's 2025 Franchise Disclosure Document, details regarding local advertising and promotion requirements can be found throughout the contract, particularly in Section 10 and related sections. Franchisees must use only approved marketing materials and get City Wide's approval before using any promotional or advertising materials. City Wide has a minimum of seven business days to review and approve the materials; if they do not respond within that time, the materials are considered disapproved.
Franchisees are expected to actively promote City Wide's products and services and participate in marketing campaigns unless they receive written approval to opt out. City Wide may establish cooperative advertising programs in a designated market area (DMA) where franchisees contribute a share based on their gross sales from the previous 12 months. These payments are separate from other advertising expenses.
Franchisees must adhere to City Wide's guidelines for using trademarks and commercial symbols in advertising, as outlined in Attachment C of the agreement and modified in the Operating Manual. They also need written consent from City Wide before marketing their franchise on the Internet or developing their own website. City Wide may also provide local advertising and marketing materials at a cost equal to their expense plus 10%. The Operating Manual contains further details, and franchisees are expected to have general knowledge of promotion, advertising, and marketing techniques.