What is the duration for which a Face Foundrie franchisee must maintain the required insurance policies?
Face_Foundrie Franchise · 2025 FDDAnswer from 2025 FDD Document
ees to support and upgrade the Computer System and Required Software. Franchisee will be required to pay the costs for technology licensed for use in the Facial Bar and with respect to the Computer System and Required Software. If Franchisor does not directly provide these services, Franchisee will be required to sign a separate agreement with Franchisor's designated provider of these services (which may be an Affiliate of Franchisor).
- 9.05 Insurance. Franchisee agrees to secure and maintain during the term of this Agreement, at its own cost, the following insurance policies by carriers approved by Franchisor:
- (a) Such insurance as may be required by the terms of any lease for the Facial Bar or, if there is no such lease, Franchisee agrees to carry fire and extended coverage insurance (including, if applicable, flood and earthquake coverage) covering the building and all equipment, supplies, products, inventory, furniture, fixtures and other tangible property located in the Facial Bar or at the Premises in the amount of the full replacement value of such property.
- (b) Commercial General Liability Insurance, including coverages for products/completed operations, contractual liability, personal and advertising injury, fire damage/damage to rented premises, and medical expenses, having a combined single limit for
Source: Item 22 — CONTRACTS (FDD pages 73–74)
What This Means (2025 FDD)
According to Face Foundrie's 2025 Franchise Disclosure Document, a franchisee is required to secure and maintain specific insurance policies throughout the entire term of the Franchise Agreement. This obligation is at the franchisee's own cost and must be with insurance carriers approved by Face Foundrie.
The required insurance includes coverage as mandated by any lease agreement for the Facial Bar, or in the absence of a lease, fire and extended coverage insurance (including flood and earthquake coverage, if applicable). This insurance must cover the building, equipment, supplies, products, inventory, furniture, fixtures, and other tangible property located at the Facial Bar, with coverage equal to the full replacement value of the property.
Additionally, franchisees must maintain Commercial General Liability Insurance with specific coverages, including products/completed operations, contractual liability, personal and advertising injury, fire damage/damage to rented premises, and medical expenses. The policy must have a combined single limit of $1,000,000 per occurrence and $2,000,000 in the aggregate. If the franchisee owns, rents, or identifies any vehicles with any Face Foundrie mark or uses vehicles in connection with the Facial Bar's operation, automobile liability coverage for owned, non-owned, scheduled, and hired vehicles is also required. All coverages must be on an occurrence basis and provide waivers of subrogation in favor of Face Foundrie.