How is 'incapacity' defined under the Deka Lash franchise agreement?
Deka_Lash Franchise · 2024 FDDAnswer from 2024 FDD Document
Franchisee appoints Franchisor as Franchisee's attorney-in-fact, to act in Franchisee's place, for the purpose of assigning any Listings covered by the Assignment to Franchisor or Franchisor's designated agent or taking any other actions required of Franchisee under this Agreement. Franchisee grants Franchisor full authority to act in any manner proper or necessary to the exercise of the forgoing powers, including full power of substitution and execution or completion of any documents required or requested by any telephone or other company to transfer such numbers, and Franchisee ratifies every act that Franchisor may lawfully perform in exercising those powers. This power of attorney shall be effective for a period of two (2) years from the date of expiration, cancellation or termination of Franchisee's rights under the Agreement for any reason. Franchisee intends that this power of attorney be coupled with an interest. Franchisee declares this power of attorney to be irrevocable and renounces all rights to revoke it or to appoint another person to perform the acts referred to in this instrument. This power of attorney shall not
be affected by the subsequent incapacity of Franchisee. This power is created to secure performance of a duty to Franchisor and is for consideration.
Source: Item 23 — RECEIPT (FDD pages 63–234)
What This Means (2024 FDD)
The 2024 Deka Lash Franchise Disclosure Document does not explicitly define the term 'incapacity' within the context of the franchise agreement. However, it does state that the power of attorney granted by the franchisee to Deka Lash, allowing Deka Lash to manage the franchisee's listings, will not be affected by the subsequent incapacity of the franchisee.
This clause ensures that even if the franchisee becomes incapacitated, Deka Lash retains the authority to manage the listings associated with the franchise. This is particularly relevant for actions such as assigning telephone numbers, email addresses, domain names, and social media accounts related to the Deka Lash franchise. The power of attorney remains effective for two years following the expiration, cancellation, or termination of the franchise agreement.
Prospective franchisees should seek clarification from Deka Lash regarding what specific conditions or events would constitute 'incapacity' under the agreement. Understanding the scope of this term is crucial, as it determines the circumstances under which Deka Lash can exercise the power of attorney, even if the franchisee is unable to manage their own affairs. This information can help franchisees understand their rights and obligations, and plan for unforeseen circumstances that might affect their ability to operate the franchise.