What constitutes a crime that could lead to the termination of a Face Foundrie Area Developer agreement?

According to Face Foundrie's 2025 Franchise Disclosure Document, the Area Developer agreement can be terminated if the Area Developer or any Principal is convicted of certain crimes. Specifically, a conviction of a felony, a crime involving moral turpitude, or any other crime or action that Face Foundrie believes is reasonably likely to have an adverse effect on the System, the Marks, or the goodwill associated with Face Foundrie, can lead to termination of the agreement.

This provision gives Face Foundrie broad discretion to terminate the Area Developer agreement based on criminal activity. The inclusion of "any other crime or action that Franchisor believes is reasonably likely to have an adverse effect" means that Face Foundrie isn't limited to just felonies or crimes involving moral turpitude. Any action that Face Foundrie deems harmful to its brand or system could be grounds for termination.

For a prospective Face Foundrie Area Developer, this clause highlights the importance of maintaining a clean criminal record and avoiding any actions that could be perceived as damaging to the brand. It's not just about avoiding serious crimes; even lesser offenses could potentially trigger this termination clause if Face Foundrie believes they could harm the business's reputation or goodwill. This is a fairly standard clause in franchise agreements, as franchisors need to protect their brand and reputation. However, the breadth of this clause means that a Face Foundrie Area Developer needs to be particularly careful about their conduct.