What is the scope of the Engineering For Kids franchisee's ability to offer Virtual Programs?
Engineering_For_Kids Franchise · 2025 FDDAnswer from 2025 FDD Document
In no way limiting the terms of Sections 7.1 or 7.2 above, the following terms apply to recorded videos and other programs and materials prepared to be provided to customers of Engineering for Kids Businesses through designated online and "virtual" settings that we prescribe and/or approve in writing (the "Virtual Programs"). We have developed Virtual Programs for use by Engineering for Kids Businesses as a supplemental method of offering Programs during periods when Engineering Kids Businesses are under governmental restrictions that impair their ability to conduct in-person Programs. The Virtual Programs are not intended as a replacement for in-person Programs and you must offer in-person Programs unless legally restricted from doing so or we provide written modification of that requirement. With respect to Virtual Programs, we have the right to (a) require that you offer and conduct Virtual Programs; (b) right to designate some or all Virtual Programs as Core Programs or as optional Programs; and (c) discontinue and disapprove any or all Virtual Programs in the future. Unless otherwise specified, the terms and conditions of this Agreement regarding "Programs," will apply to "Virtual Programs."
Source: Item 23 — RECEIPTS (FDD pages 53–138)
What This Means (2025 FDD)
According to the 2025 Engineering For Kids FDD, Virtual Programs are a supplemental method of offering programs, especially during governmental restrictions that limit in-person activities. These virtual offerings are not intended to replace in-person programs, which franchisees must continue to offer unless legally restricted or given written permission otherwise.
Engineering For Kids retains significant control over Virtual Programs. The company has the right to require franchisees to offer and conduct Virtual Programs, designate these programs as either Core (mandatory) or optional, and discontinue or disapprove any Virtual Programs in the future. Unless specified otherwise, the standard terms and conditions of the Franchise Agreement regarding 'Programs' also apply to Virtual Programs.
For a prospective Engineering For Kids franchisee, this means that while Virtual Programs offer flexibility, the franchisor maintains considerable authority over their implementation and availability. Franchisees must stay informed about which Virtual Programs are approved, whether they are mandatory, and any potential changes or discontinuations. The franchisee's ability to innovate independently in the virtual space appears limited, as all programs must be prescribed or approved in writing by Engineering For Kids.