Does Face Foundrie assume direct or indirect liability for collecting, maintaining, directing, or administering the marketing fund?
Face_Foundrie Franchise · 2025 FDDAnswer from 2025 FDD Document
We assume no other direct or indirect liability or obligation to you for collecting amounts due to, maintaining, directing, or administering the Fund.
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 33–43)
What This Means (2025 FDD)
According to Face Foundrie's 2025 Franchise Disclosure Document, Face Foundrie does not assume direct or indirect liability or obligation to franchisees for collecting amounts due to, maintaining, directing, or administering the marketing fund. This means that Face Foundrie is not liable to the franchisees for any issues that may arise in the collection, maintenance, direction, or administration of the fund.
Face Foundrie (or their designee) directs all advertising programs and has the sole right to make decisions regarding the concepts, materials, and media used in these programs, as well as the placement and allocation of the programs. The marketing fund is intended for brand development initiatives and programs aimed at maximizing public recognition and acceptance of the Face Foundrie system. Face Foundrie is not obligated to make expenditures for franchisees that are equivalent or proportionate to their marketing contributions, or to ensure that any particular franchisee benefits directly or pro rata from the fund's expenditures, or to spend any amounts in any particular geographic area.
Face Foundrie may use collection agents and institute legal proceedings to collect marketing contributions at the fund's expense. They may also forgive, waive, settle, and compromise claims by or against the fund. While Face Foundrie has the right to charge the fund for reasonable administrative costs and overhead incurred in activities related to the direction and implementation of the fund and advertising programs, the fund and its earnings will not otherwise benefit Face Foundrie. Face Foundrie also states that they have no fiduciary obligation to franchisees for administering the fund.