Does Deka Lash require franchisees to accept memberships as part of promotional programs?
Deka_Lash Franchise · 2024 FDDAnswer from 2024 FDD Document
eting including all digital marketing related to your studio. Unless we consent in writing, you or your employees may not conduct any digital marketing that uses our marks or relates to your studio, including through an independent website, or social media account. We may withdraw approval at any time and you must immediately modify or delete any digital marketing as required.
- (b) Digital Deals and Promotions. We have the right, but not the obligation to offer deals, discounted services, gift certificates, memberships, coupons, or vouchers on third party websites or apps such as Living Social. Facebook or Groupon and their associated reach (be it digital or otherwise). If we offer any deals, coupons, gift certificates, vouchers or such, we have the right to collect and retain any revenue from such deals, including payments to third parties and you will not be entitled to receive any payment or reimbursement from us, our affiliates, third parties, or the customers that purchase the services, deals, vouchers, gift certificates or coupons if the related services have not been provided by your Franchised Business. Any net cash gain to the company however, (revenue minus associated expenses, such as the costs and fees charged by the third-party websites and apps), not directly paid to a studio, will be contributed to the Brand Development Fund and spent accordingly. You must provide the services and products associated with the deals. Funds contributed to the Brand Development Fund from these digital deals and promotions do not count towards your Brand Development Fees. Unless we consent in writing, you and your employees must not conduct or be involved in any digital marketing related to our brand, marks or your studio. If we do permit you to conduct any digital marketing, you must comply with our policies and we may withdraw approval at any time.
- 7.8 Entity Name Requirements. You may not use the words "Deka" or "Deka Lash" or any confusingly similar words, as any part of the name of a corporation, LLC or other entity.
Source: Item 23 — RECEIPT (FDD pages 63–234)
What This Means (2024 FDD)
According to the 2024 Deka Lash Franchise Disclosure Document, Deka Lash does not mandate that franchisees accept memberships as part of promotional programs. However, Deka Lash retains the right, but not the obligation, to offer deals, discounted services, gift certificates, memberships, coupons, or vouchers through third-party platforms.
If Deka Lash initiates such promotions, they have the right to collect and retain any revenue generated, including payments to third parties. Franchisees are obligated to provide the services and products associated with these deals. Any net cash gain from these promotions, after deducting associated expenses, will be contributed to the Brand Development Fund.
Deka Lash also reserves the right to establish policies and guidelines regarding the acceptance and reimbursement associated with gift certificates, gift cards, memberships, discounts, coupons, or promotions as set forth in their manuals or in writing. This includes the right to establish policies relating to the allocation of funds when a gift certificate is purchased at one studio but redeemed at another. Franchisees are generally restricted from conducting their own digital marketing related to the Deka Lash brand without written consent from Deka Lash.