What specific aspects of the office's condition and appearance are covered by City Wide standards?
City_Wide Franchise · 2025 FDDAnswer from 2025 FDD Document
- 7.2.1 Copies of all permits and certifications as may be required for the lawful operation of the Franchised Business, together with copies of any building inspection reports and certifications from all governmental authorities having jurisdiction over the Designated Territory and the Franchised Business showing that all necessary permits have been obtained and that all requirements for operation have been met.
- 7.3 Condition and Appearance of Office; Right of Inspection. Franchisee will maintain the condition and appearance of the Office of the Franchised Business consistent with CITY WIDE standards, as set forth in the Operating Manual and otherwise in writing. Franchisee will maintain such premises as CITY WIDE may from time to time require to maintain or improve the appearance and efficient operation of the Franchised Business, including, but not limited to, replacement of worn out or obsolete fixtures and signs, and repair of the Location. If any time in CITY WIDE's judgment the general state of repair or the appearance of the premises of the Franchised Business or its equipment, fixtures, or signs does not meet CITY WIDE's standards, CITY WIDE will so notify Franchisee and specify the action Franchisee must take to correct such deficiency. If Franchisee fails or refuses to initiate within thirty (30) calendar days after receipt of such notice, and continues to fail to implement a bona fide program to complete any required maintenance, CITY WIDE will have the right, in addition to all other remedies, to enter upon the premises of the Franchised Business and effect such repairs, painting, maintenance or replacements of equipment, fixtures or signs on Franchisee's behalf and Franchisee will repay CITY WIDE the entire costs on demand. If Franchisee fails to make any such payments or remedy operational deficiencies, such failure will constitute a material breach of this Agreement and CITY WIDE may terminate this Agreement. Except for
those repairs that would constitute a public health or safety hazard, or are required by any governmental agency, any such remodeling requirement will be imposed only in a nondiscriminatory manner upon (i) all comparably situated CITY WIDE franchisees and (ii) all comparably situated CITY WIDE-owned businesses; provided further that any capital expenditure otherwise required under this Agreement in excess of
Source: Item 22 — CONTRACTS (FDD page 65)
What This Means (2025 FDD)
According to City Wide's 2025 Franchise Disclosure Document, franchisees must maintain the condition and appearance of their office in accordance with City Wide standards, which are detailed in the Operating Manual and other written communications. These standards extend to maintaining or improving the appearance and efficient operation of the franchised business. This includes replacing worn or outdated fixtures and signs, as well as repairing the location itself.
City Wide retains the right to inspect the premises and equipment of the franchised business. If City Wide determines that the general state of repair or appearance does not meet their standards, they will notify the franchisee and specify the necessary corrective actions. The franchisee is then required to begin these actions within 30 calendar days.
If a franchisee fails to address the deficiencies, City Wide has the right to enter the premises and perform the necessary repairs, painting, maintenance, or replacements on behalf of the franchisee, with the franchisee responsible for covering all costs. Failure to make these payments or remedy operational deficiencies can result in a material breach of the franchise agreement, potentially leading to termination. However, remodeling requirements exceeding $25,000 are subject to amortization or depreciation considerations under the Internal Revenue Code, and will only be imposed in a non-discriminatory manner on all comparably situated City Wide franchisees and City Wide-owned businesses.
In addition to the physical condition of the office, franchisees are also responsible for maintaining cleanliness and safety standards as prescribed by City Wide. These standards are crucial for upholding the public image and reputation of the City Wide system. City Wide may conduct evaluations of the franchised business at the office and customer sites to ensure compliance with these standards.