If Clean Your Dirty Face operates my business on an interim basis, what duty does Clean Your Dirty Face have to me?
Clean_Your_Dirty_Face Franchise · 2025 FDDAnswer from 2025 FDD Document
and expenses. If we (or a third party) operate your Business on an interim basis, you acknowledge that we (or our designee) will have a duty to utilize only reasonable efforts and will not be liable to you or your owners for any debts, losses, or obligations your Business incurs, or to any of your creditors for any supplies, products, or other assets or services your Business purchases, while we (or the third party) manage it.
Source: Item 22 — CONTRACTS (FDD page 54)
What This Means (2025 FDD)
According to Clean Your Dirty Face's 2025 Franchise Disclosure Document, if Clean Your Dirty Face or a third party operates your business on an interim basis, they will only have a duty to utilize reasonable efforts. Clean Your Dirty Face will not be liable to you or your owners for any debts, losses, or obligations your business incurs while they manage it. Additionally, Clean Your Dirty Face is not liable to any of your creditors for any supplies, products, or other assets or services your business purchases during the interim management period.
This interim operation can occur for up to 60 days if you abandon the business, fail to actively operate it, the Franchise Agreement is terminated while Clean Your Dirty Face decides whether to purchase the business, or if your Operating Partner dies, transfers their interest, is disapproved, or becomes incapable of managing the business. During this time, you must cooperate with Clean Your Dirty Face, continue to support the business, and comply with all instructions and System Standards.
It is important to note that you remain the owner of the business during any interim period and are responsible for all accounts payable, obligations, and contracts, including lease and vendor obligations, unless Clean Your Dirty Face expressly assumes them in connection with purchasing your business. Clean Your Dirty Face is not required to use your employees, vendors, or accounts to operate the business and may cease interim operations at any time with notice to you.
All funds generated during the interim operation will be kept in a separate account, and all expenses will be charged to this account. These expenses include royalties, marketing fund contributions, other amounts due to Clean Your Dirty Face, and a fee for interim services. The fee is currently fifteen percent (15%) of your business's Gross Sales, which may be adjusted with inflation, plus Clean Your Dirty Face's or their designee's direct out-of-pocket costs and expenses. Clean Your Dirty Face's decision to operate your business on an interim basis does not affect their right to terminate the Franchise Agreement, and your indemnification obligations continue to apply.