Does the Devon Creek franchisor have to approve the interim successor manager?
Devon_Creek Franchise · 2024 FDDAnswer from 2024 FDD Document
Until such replacement is designated, Franchisee shall provide for interim management of the Franchised Business, who shall act in accordance with the terms of this Agreement.
Any failure to comply with the requirements of this Section shall be deemed a material event of default under this Agreement. Franchisor, in Franchisor's sole discretion, may provide interim management support and charge Franchisee the thencurrent interim management support fee until a replacement General Manager is properly trained or certified in accordance with Franchisor's requirements. Franchisee shall pay the interim management support fee, plus any and all costs of travel, lodging, meals and other expenses reasonably incurred by Franchisor, upon written demand by Franchisor, or Franchisor may withdraw such amounts from Franchisee's designated bank account in accordance with Section 6.1.4.
Source: Item 22 — CONTRACTS (FDD page 45)
What This Means (2024 FDD)
According to the 2024 Devon Creek Franchise Disclosure Document, if a franchisee needs to designate an interim manager for their franchised business, the interim manager must act in accordance with the terms of the Franchise Agreement.
If the franchisee fails to comply with the requirements outlined in the agreement, it will be considered a material event of default. In such a case, Devon Creek has the option to provide interim management support themselves and charge the franchisee a fee for this support until a replacement general manager is properly trained or certified according to Devon Creek's standards.
The franchisee is responsible for paying the interim management support fee, along with any associated costs like travel, lodging, and meals incurred by Devon Creek. These amounts are payable upon written demand from Devon Creek, or Devon Creek may withdraw the funds from the franchisee's designated bank account.