What happens if the 'Open Date' is otherwise agreed to by the Parties for City Wide?
City_Wide Franchise · 2025 FDDAnswer from 2025 FDD Document
| This Business Development Center Agreement ("Agreement") dated is entered into by and between City Wide Franchise Company, Inc. ("City Wide") and ("Franchisee") |
|---|
| (City Wide and Franchisee, collectively "Parties" or individually "Party"). |
| RECITALS |
| A. |
| City |
| Wide |
| and |
| Franchisee |
| are |
| parties |
| to |
| that |
| certain |
| Franchise |
| Agreement |
| dated |
| ("Franchise |
| Agreement"),[as amended] |
| pursuant |
| to |
| which |
| Franchisee |
| is |
| granted |
| the |
| right |
| to |
| operate |
| a |
| City |
| Wide franchise in the Designated Territory, as defined in the Franchise Agreement ("Franchised Business"). |
| B. |
| Franchisee desires to enlist the Services (defined below) of City Wide's Business Development |
| Center for the purpose of |
| assisting in |
| the |
| prospecting and developing of local City |
| Wide clientele. Services will be |
| provided starting as of the date the Franchised Business opens for business ("Open Date" or as otherwise agreed |
| to by the Parties) hereinafter the "Effective Date". |
Source: Item 22 — CONTRACTS (FDD page 65)
What This Means (2025 FDD)
According to City Wide's 2025 Franchise Disclosure Document, the Business Development Center Agreement's services will be provided starting on the date the Franchised Business opens, referred to as the "Open Date," or as otherwise agreed to by both City Wide and the franchisee, which is then considered the "Effective Date".
For new City Wide franchisees, the term of the Business Development Center Agreement begins on the Effective Date and continues for twelve months, unless terminated earlier according to Section 3 of the agreement. For existing franchisees engaging City Wide for Business Development Center services, the agreement term starts on the date services begin, also the Effective Date, and lasts for six months, unless terminated sooner per Section 3.
This flexibility allows City Wide to accommodate various circumstances, ensuring that the Business Development Center services align with the franchisee's specific needs and timeline, as mutually agreed upon. Prospective franchisees should discuss the 'Open Date' and 'Effective Date' with City Wide to ensure clarity and agreement on when services will commence.