factual

Is a City Wide franchisee required to adhere to the terms and conditions in the Operating Manual?

City_Wide Franchise · 2025 FDD

Answer from 2025 FDD Document

During the term of the Franchise Agreement, CITY WIDE provides you access to its confidential operating manual ("Operating Manual") containing reasonable and mandatory specifications, standards, operating procedures, and rules prescribed periodically by CITY WIDE for Franchise Operations and information relative to other obligations of you and the operation of your Franchise You must adhere to all the terms and conditions in the current Operating Manual. CITY WIDE's interpretation of the provisions of the current Operating Manual is controlling, and you must abide by CITY WIDE's interpretations. CITY WIDE will have the right to add to and otherwise modify the Operating Manual periodically to reflect changes in the specifications, standards, operating procedures, and rules required by CITY WIDE for Franchised Businesses, provided no addition or modification will change your fundamental status and rights under the

Franchise Agreement or require you to spend unreasonable additional capital investment. (See Section 8 of the Franchise Agreement)

The table of contents of the Operating Manual, as of CITY WIDE's last fiscal year end, is in Exhibit F to this Franchise Disclosure Document. It consists of 271 pages.

Failure to follow the mandatory specifications and standards in the Operating Manual, as amended, may constitute a material breach of the Franchise Agreement. If a material breach is not cured within 30 days of receipt of the written notice from CITY WIDE, CITY WIDE may terminate the Franchise Agreement. (See Section 8 of the Franchise Agreement)

Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 29–36)

What This Means (2025 FDD)

According to City Wide's 2025 Franchise Disclosure Document, franchisees must adhere to the terms and conditions outlined in the Operating Manual. City Wide provides franchisees access to this manual, which contains mandatory specifications, standards, operating procedures, and rules for franchise operations. Franchisees are obligated to follow these guidelines, and City Wide's interpretation of the manual's provisions is controlling. The Operating Manual consists of 271 pages as of City Wide's last fiscal year end, and its table of contents is detailed in Exhibit F of the FDD.

City Wide retains the right to modify the Operating Manual periodically to reflect changes in the specifications, standards, operating procedures, and rules required for Franchised Businesses. However, these modifications will not alter the franchisee's fundamental status and rights under the Franchise Agreement or require unreasonable additional capital investment.

Failure to comply with the mandatory specifications and standards in the Operating Manual, as amended, can constitute a material breach of the Franchise Agreement. If the breach is not resolved within 30 days of receiving written notice from City Wide, the franchisor may terminate the Franchise Agreement. This underscores the importance of franchisees understanding and adhering to the guidelines set forth in the Operating Manual to maintain compliance and avoid potential termination of their franchise agreement.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.