What remedy is Deck Medic entitled to if a franchisee violates the covenants in Article 4?
Deck_Medic Franchise · 2024 FDDAnswer from 2024 FDD Document
hat the covenants in this Agreement are reasonable in terms of scope, duration and geographic are, we may at any time unilaterally modify the terms of this Article 4 (Intellectual Property, Brand Protection and Non-Competition Covenants and Restrictions) by limiting the scope of the Prohibited Activities, narrowing the definition of a Competitive Business, shortening the duration of the Restricted Period, reducing the geographic scope of the Restricted Territory and/or reducing the scope of any other covenant imposed upon you under this Article 4 to ensure that the terms are enforceable under applicable law.
- (g) Breach. You agree that failure to comply with these Article 4 Intellectual Property, Brand Protection and Non-Competition Covenants and Restrictions will cause irreparable harm to us and/or other Deck Medic Business franchisees for which there is no adequate remedy at law. Therefore, you agree that any violation of these covenants will entitle us to injunctive relief. You agree that we may apply for such injunctive relief, without bond, bu
Source: Item 23 — RECEIPTS (FDD pages 43–228)
What This Means (2024 FDD)
According to Deck Medic's 2024 Franchise Disclosure Document, if a franchisee violates the covenants in Article 4 concerning intellectual property, brand protection, and non-competition, Deck Medic is entitled to injunctive relief. This means Deck Medic can seek a court order to stop the franchisee from continuing the violating behavior.
Deck Medic can pursue this injunctive relief without having to post a bond, although due notice must be given to the franchisee. If a court requires a bond, the maximum amount will be $1,000. The franchisee's sole remedy if an injunction is issued is to seek its dissolution at a hearing. The franchisee waives any claims for damages resulting from the injunction's issuance.
Furthermore, the remedies available to Deck Medic are not exclusive. Deck Medic can combine injunctive relief with other remedies available under the agreement, at law, or in equity. These additional remedies can include specific performance (forcing the franchisee to fulfill their contractual obligations) and recovery of monetary damages to compensate for the harm caused by the breach.