What is the required action for Crawlspace Medic franchisees regarding principals completing the Initial Training Program during the term of the agreement?
Crawlspace_Medic Franchise · 2024 FDDAnswer from 2024 FDD Document
- 7.1 Initial Training Program. Franchisee (specifically including all Franchisee's principals) shall attend and complete to Franchisor's sole and absolute satisfaction, Franchisor's initial training program ("Initial Training Program") at least two (2) weeks (but no more than six (6) weeks, prior to the opening of the Franchised Business. The Initial Training Program consists of a four (4) week course for you or your operating principal(s) and a two week course for your field technicians. The training is held at our headquarters, currently in Columbia, SC, or virtually. Franchisor reserves the right to designate an alternate location for the course component of the Initial Training Program. Franchisee must at all times during the term of this Agreement have principals who have successfully completed the Initial Training Program to Franchisor's sole and complete satisfaction. No charge shall be made for up to three (3) people to take the Initial Training Program prior to opening the Franchised Business ("Initial Trainees"). Notwithstanding the foregoing, Franchisee shall be required to pay all of the expenses of the Initial Trainees, including, without limitation, costs of travel, lodging, meals and wages.
- 7.2 Satisfactory Completion. Franchisor shall determine, in Franchisor's sole discretion, whether the Franchisee has satisfactorily completed the Initial Training Program. If the Initial Training Program is not satisfactorily completed by the franchisee, or if Franchisor, in Franchisor's reasonable business judgment based upon the performance of the Initial Trainees, determines that Franchisee and Franchisee's Principal(s) cannot satisfactorily complete the Initial Training Program, Franchisor may terminate this Agreement.
Source: Item 22 — CONTRACTS (FDD page 42)
What This Means (2024 FDD)
According to the 2024 Crawlspace Medic FDD, franchisees, including all principals, must attend and complete the Initial Training Program to the Franchisor's satisfaction. This training must occur at least two weeks, but no more than six weeks, before the opening of the franchised business. The Initial Training Program consists of a four-week course for the franchisee or their operating principals and a two-week course for their field technicians. The training is held at Crawlspace Medic's headquarters, currently in Columbia, SC, or virtually, though the franchisor can designate an alternate location.
During the entire term of the Franchise Agreement, Crawlspace Medic franchisees must ensure that they have principals who have successfully completed the Initial Training Program to the Franchisor's satisfaction. There is no charge for up to three people to take the Initial Training Program prior to opening the Franchised Business. However, the franchisee is responsible for covering all expenses for the Initial Trainees, including travel, lodging, meals, and wages.
Crawlspace Medic determines, at its sole discretion, whether the franchisee has satisfactorily completed the Initial Training Program. If the Initial Training Program is not satisfactorily completed by the franchisee, or if Crawlspace Medic, based on the performance of the Initial Trainees, determines that the franchisee and franchisee's Principal(s) cannot satisfactorily complete the Initial Training Program, Crawlspace Medic may terminate the Franchise Agreement.