What is the Clean Your Dirty Face franchisor's requirement regarding the Purchase Agreement?
Clean_Your_Dirty_Face Franchise · 2025 FDDAnswer from 2025 FDD Document
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- Representations and Warranties.
The Transferor Parties and the Transferee Parties each hereby, jointly and severally, represent and warrant to Franchisor as of the Effective Date and as of the Transfer Date that: (i) Transferor and Transferee are each a legal entity duly organized, validly existing and in good standing under the laws of their respective jurisdiction of organization; (ii) Transferor and Transferee each have all requisite power and authority to be bound by the terms hereof and to carry out and perform its obligations under this Consent, the Purchase Agreement, and in the case of Transferee, the New Agreement (as defined below); and (iii) the parties have provided Franchisor with a final executed and effective copy of the Purchase Agreement and no provision of the Purchase Agreement has been modified, amended, waived, or disclaimed in any manner by the parties thereto prior to the Effective Date.
Source: Item 23 — RECEIPTS (FDD pages 54–186)
What This Means (2025 FDD)
According to the 2025 Clean Your Dirty Face FDD, in the event of a transfer of ownership, Clean Your Dirty Face requires that they receive a final executed copy of the Purchase Agreement. This copy must be effective and cannot have been modified, amended, waived, or disclaimed in any way before the effective date. This requirement ensures that Clean Your Dirty Face is fully aware of the terms of the transfer and that there are no hidden agreements or changes that could affect the operation of the franchise.
This requirement is in place to protect Clean Your Dirty Face's interests and ensure that any transfer of ownership is conducted in a transparent and consistent manner. By requiring a final, unmodified copy of the Purchase Agreement, Clean Your Dirty Face can assess whether the transfer meets their standards and will not negatively impact the brand or other franchisees. This also allows Clean Your Dirty Face to verify that the purchase price and payment terms will not adversely affect the Transferee's operation of the Clean Your Dirty Face Facial Bar.
For a prospective Clean Your Dirty Face franchisee, this means that if they ever decide to sell their franchise, they must provide Clean Your Dirty Face with a complete and accurate copy of the Purchase Agreement. Failure to do so could result in the franchisor withholding consent for the transfer. The franchisee should ensure that all terms are clearly documented and agreed upon before submitting the agreement to Clean Your Dirty Face. This requirement is a standard practice in franchising, as franchisors typically want to maintain control over who operates their branded locations.