What is the effect on the Crepe De Licious agreement if a section is determined to be invalid?
Crepe_De_Licious Franchise · 2025 FDDAnswer from 2025 FDD Document
- c. Each section of this Agreement, including each subsection and portion thereof, is severable. If any section, subsection, or portion of this Agreement is unenforceable, it shall not affect the enforceability of any other section, subsection, or portion; and each party to this Agreement agrees that the court may impose such limitations on the terms of this Agreement as it deems in its discretion necessary to make such terms reasonable in scope, duration, and geographic area.
Source: Item 22 — CONTRACTS (FDD page 57)
What This Means (2025 FDD)
According to the 2025 Crepe De Licious Franchise Disclosure Document, the franchise agreement contains a severability clause. This means that if any part of the agreement is deemed unenforceable, it will not invalidate the rest of the agreement.
Specifically, if a section, subsection, or portion of the Crepe De Licious Franchise Agreement is found to be unenforceable, the remaining parts of the agreement will still be valid and enforceable. This protects both Crepe De Licious and the franchisee by ensuring that the entire agreement does not collapse due to a single issue.
Furthermore, the clause allows a court to modify the terms of the agreement to make them reasonable. This could involve limiting the scope, duration, or geographic area of certain provisions to ensure they are enforceable under applicable law. This demonstrates Crepe De Licious's intent to maintain a fair and legally sound agreement with its franchisees.
This type of clause is fairly standard in franchise agreements. It provides a safety net, allowing the agreement to remain in effect even if certain provisions are challenged and found to be invalid. Prospective franchisees should be aware of this clause as it offers some protection and ensures that the core aspects of the franchise relationship remain intact.