Does Clean Your Dirty Face's acceptance of payments after a breach constitute a waiver of its rights?
Clean_Your_Dirty_Face Franchise · 2025 FDDAnswer from 2025 FDD Document
Agreement, including any System Standard; our waiver of or failure to exercise any right, power, or option, whether of the same, similar, or different nature, with other CYDF Facial Bars; the existence of franchise agreements for other CYDF Facial Bars which contain provisions different from those contained in this Agreement; or our acceptance of any payments due from you after any breach of this Agreement.
Source: Item 22 — CONTRACTS (FDD page 54)
What This Means (2025 FDD)
According to Clean Your Dirty Face's 2025 Franchise Disclosure Document, the franchisor's acceptance of payments from a franchisee after a breach of the Franchise Agreement does not constitute a waiver of Clean Your Dirty Face's rights. This means that even if Clean Your Dirty Face continues to accept royalty payments or other fees from a franchisee who has violated the agreement, Clean Your Dirty Face still retains the right to take action regarding the breach.
This provision protects Clean Your Dirty Face by ensuring that they do not inadvertently forfeit their rights simply by continuing to accept payments. It allows Clean Your Dirty Face to address the breach separately, without the acceptance of payments being interpreted as condoning the franchisee's actions. This is a fairly common clause in franchise agreements, as franchisors need to maintain consistent standards across all franchise locations and cannot afford to be seen as ignoring breaches of contract.
For a prospective Clean Your Dirty Face franchisee, this means that they cannot assume that continued payment of fees will excuse any violations of the Franchise Agreement. Clean Your Dirty Face can still pursue legal remedies or terminate the agreement, even if payments are current. Therefore, it is crucial for franchisees to adhere strictly to the terms of the agreement to avoid any potential issues, regardless of whether Clean Your Dirty Face continues to accept payments. Franchisees should address any concerns about compliance directly with Clean Your Dirty Face to seek clarification or potential waivers in writing, as specified elsewhere in the agreement.