When does the Face Foundrie Area Development Agreement commence?
Face_Foundrie Franchise · 2025 FDDAnswer from 2025 FDD Document
| Provision | Area Development | Summary | |
|---|---|---|---|
| Agreement | |||
| (a) | Length of the franchise term | Section 2 and Exhibit A | Unless sooner terminated in accordance with the provisions of the Area Development Agreement, the Area Development Agreement will commence on the date of the Area Development Agreement and will expire on the earlier of (i) the date you execute the final Franchise Agreement in accordance with the required minimum cumulative number of Franchise Agreements to be executed for Facial Bars to be located in the Development Territory as set forth in the Development Schedule; or (ii) the final date set forth in the Development Schedule. |
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER, AND DISPUTE RESOLUTION OF THE FRANCHISE RELATIONSHIP (FDD pages 51–59)
What This Means (2025 FDD)
According to Face Foundrie's 2025 Franchise Disclosure Document, the Area Development Agreement commences on the date of the Area Development Agreement. Unless terminated earlier, the agreement will expire on the earlier of two dates: either when you execute the final Franchise Agreement according to the required minimum number for Facial Bars in the Development Territory, as detailed in the Development Schedule, or on the final date specified in the Development Schedule.
This means that the start date is simply the date written on the agreement itself. However, the end date is tied to the franchisee's performance in opening the agreed-upon number of Face Foundrie locations within the development territory. The Development Schedule, which is an exhibit to the Area Development Agreement, contains the specific timelines and minimum opening requirements that determine the agreement's duration.
Prospective area developers should carefully review the Development Schedule to understand the required pace of development and the implications for the agreement's term. Failure to meet the minimum development requirements could result in the agreement expiring on the final date of the schedule, potentially limiting the developer's rights to further expand within the territory. This contrasts with a standard franchise agreement, where the term is typically fixed regardless of performance.