What is the Clean Your Dirty Face franchisor's right regarding the Operating Partner?
Clean_Your_Dirty_Face Franchise · 2025 FDDAnswer from 2025 FDD Document
We reserve the right to approve the Operating Partner.
In the event that your Operating Partner ceases to own at least a twenty-five percent (25%) ownership interest and voting interest in you, or we disapprove of your Operating Partner, you must recruit a new Operating Partner within sixty (60) days of the change in ownership or disapproval and deliver to us a revised Exhibit A to accurately identify the Operating Partner for our review and approval;
- (6) You agree that the Operating Partner is authorized to deal with us on your behalf for all matters whatsoever that may arise with respect to this Agreement.
Any decision made by the Operating Partner will be final and binding on you and we will be entitled to rely solely on the decision of the Operating Partner without discussing the matter with any other party.
We will not be held liable for any actions based on any decision or actions of the Operating Partner; and
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 retains specific rights regarding the franchisee's Operating Partner. Clean Your Dirty Face reserves the right to approve the Operating Partner initially.
If the Operating Partner's ownership falls below 25% or if Clean Your Dirty Face disapproves of the current Operating Partner, the franchisee must recruit a new Operating Partner within 60 days. The franchisee must then submit a revised Exhibit A to Clean Your Dirty Face for review and approval, accurately identifying the new Operating Partner.
The document also states that the Operating Partner is authorized to act on behalf of the franchisee in all matters related to the Franchise Agreement, and Clean Your Dirty Face is entitled to rely solely on the Operating Partner's decisions. Furthermore, Clean Your Dirty Face will not be held liable for any actions based on the decisions or actions of the Operating Partner. This arrangement gives significant authority to the Operating Partner while also allowing Clean Your Dirty Face to ensure the Operating Partner meets their standards.