Upon termination of the Dermani Medspa Franchise Agreement, what is the franchisee obligated to do with their interest in Internet Websites and Listings?
Dermani_Medspa Franchise · 2025 FDDAnswer from 2025 FDD Document
sh the purposes of this Internet Listing Agreement. Franchisee further agrees that this appointment constitutes a power coupled with an interest and is irrevocable until Franchisee has satisfied all of its obligations under the Franchise Agreement and any and all other agreements to which Franchisee and any of its affiliates on the one hand, and Franchisor and any of its affiliates on the other, are parties, including without limitation this Internet Listing Agreement. Without limiting the generality of the foregoing, Franchisee hereby grants to Franchisor the power and right to do the following:
- 2.3.1 Direct the Internet Companies to transfer all Franchisee's Interest in and to the Internet Websites and Listings to Franchisor;
- 2.3.2 Direct the Internet Companies to terminate any or all of the Internet Websites and Listings; and
- 2.3.3 Execute the Internet Companies' standard assignment forms or other documents in order to affect such transfer or termination of Franchisee's Interest.
- 2.4 Certification of Termination. Franchisee hereby directs the Internet Companies to accept, as conclusive proof of Termination of the Franchise Agreement, Franchisor's written statement, signed by an officer or agent of Franchisor, that the Franchise Agreement has terminated.
- 2.5 Cessation of Obligations. After the Internet Companies have duly transferred all Franchisee's Interest in such Internet Websites and Listings to Franchisor, as between Franchisee and Franchisor, Franchisee will have no further interest in, or obligations under, such Internet Websites and Listings. Notwithstanding the foregoing, Franchisee will remain liable to each and all of the Internet Companies for the sums Franchisee is obligated to pay such Internet Companies for obligations Franchisee incurred before the date Franchisor duly accepted the transfer of such Interest, or for any other obligations not subject to the Franchise Agreement or this Internet Listing Agreement.
3. MISCELLANEOUS
- 3.1 Release.
Source: Item 23 — RECEIPTS (FDD pages 66–311)
What This Means (2025 FDD)
According to the 2025 Dermani Medspa Franchise Disclosure Document, franchisees are required to take certain actions regarding their internet presence upon termination or expiration of the franchise agreement. Dermani Medspa is granted the power of attorney to manage the franchisee's internet assets, and the franchisee must notify relevant entities about the termination.
Specifically, Dermani Medspa has the power to direct Internet Companies to transfer all of the franchisee's interest in Internet Websites and Listings to Dermani Medspa, direct the Internet Companies to terminate any or all of the Internet Websites and Listings, and execute the Internet Companies' standard assignment forms or other documents in order to affect such transfer or termination of Franchisee's Interest. Dermani Medspa is not obligated to accept the transfer of the franchisee's interest in Internet Websites and Listings.
Furthermore, the franchisee must notify the telephone company, all telephone directory publishers, social media and other online listings (as necessary), and all domain name registries and internet service providers about the termination. After the Internet Companies have duly transferred all Franchisee's Interest in such Internet Websites and Listings to Franchisor, as between Franchisee and Franchisor, Franchisee will have no further interest in, or obligations under, such Internet Websites and Listings. However, the franchisee remains liable to the Internet Companies for any sums they are obligated to pay for obligations incurred before the transfer date.
This arrangement ensures that Dermani Medspa maintains control over its brand's online presence even after a franchise agreement ends. It is important for prospective franchisees to understand these obligations and potential liabilities related to online assets upon termination.