Are there any other remedies available to City Wide if a franchisee fails to maintain the premises?
City_Wide Franchise · 2025 FDDAnswer from 2025 FDD Document
ranchisee 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.
Source: Item 22 — CONTRACTS (FDD page 65)
What This Means (2025 FDD)
According to City Wide's 2025 Franchise Disclosure Document, if a franchisee fails to maintain the condition and appearance of their office, City Wide has several remedies available. Initially, City Wide will notify the franchisee of the deficiency and specify the corrective actions needed. If the franchisee fails to initiate a program to complete the required maintenance within thirty calendar days after receiving notice, City Wide has the right to enter the premises and perform the necessary repairs, painting, maintenance, or replacements on the franchisee's behalf. The franchisee is then obligated to repay City Wide the entire cost of these actions upon demand.
In addition to performing the maintenance themselves and requiring reimbursement, City Wide can also terminate the franchise agreement if the franchisee fails to make the required payments for the maintenance or remedy other operational deficiencies. This failure is considered a material breach of the agreement, giving City Wide grounds for termination.
Furthermore, the FDD states that City Wide retains all other remedies available to them, in addition to the specific remedies outlined for failure to maintain the premises. City Wide may seek any form of relief or remedy available to it under common law or statute for any breach of the Franchise Agreement, including, but not limited to, the right to damages, injunctive relief, and declaratory orders for specific performance.