Under what circumstances might Clean Your Dirty Face establish a Local Advertising Cooperative?
Clean_Your_Dirty_Face Franchise · 2025 FDDAnswer from 2025 FDD Document
You agree that we or our affiliates or designees may establish or direct the establishment of a local advertising cooperative ("Local Advertising Cooperative") in geographical areas (as determined by us) in which two (2) or more CYDF Facial Bars are operating. The Local Advertising Cooperative will be organized and governed by written documents in a form and manner, and begin operating on a date, that we determine in advance. Such written documents will be available for participating franchise owners to review. We may change, dissolve, merge and reinstate any Local Advertising Cooperatives. Each Local Advertising Cooperative's purpose is, with our approval, to administer advertising programs and develop advertising, marketing and promotional materials for the area that the Local Advertising Cooperative covers. If we have
established a Local Advertising Cooperative for the geographic area in which your Business is located, as of the time you sign this Agreement, or if we establish a Local Advertising Cooperative in that area during this Agreement's term, you agree to sign the documents we require to become a member of the Local Advertising Cooperative and to participate in the Local Advertising Cooperative as we require.
Source: Item 22 — CONTRACTS (FDD page 54)
What This Means (2025 FDD)
According to the 2025 Clean Your Dirty Face FDD, Clean Your Dirty Face or its affiliates or designees may establish a Local Advertising Cooperative in geographical areas where two or more Clean Your Dirty Face Facial Bars are operating. The purpose of these cooperatives is to administer advertising programs and develop advertising, marketing, and promotional materials for the area they cover, subject to Clean Your Dirty Face's approval.
If a Local Advertising Cooperative is established in a franchisee's area, the franchisee is required to sign the necessary documents to become a member and participate in the cooperative as required by Clean Your Dirty Face. The cooperative will be organized and governed by written documents, with the form, manner, and operating date determined by Clean Your Dirty Face in advance. These documents will be available for review by participating franchisees.
Clean Your Dirty Face retains the right to change, dissolve, merge, and reinstate any Local Advertising Cooperatives. Franchisees must understand that their business might not directly or proportionally benefit from its Local Advertising Cooperative Contribution. The FDD specifies that Local Advertising Cooperatives are developed separately and are not intended to benefit each other. Clean Your Dirty Face also has the right, but not the obligation, to use collection agents and legal proceedings to collect Local Advertising Cooperative Contributions and to resolve claims related to the cooperative.