What is the duration of the non-compete covenant for Face Foundrie employees after termination?
Face_Foundrie Franchise · 2025 FDDAnswer from 2025 FDD Document
You covenant and agree that during the term of your employment and for 18 months following the termination of your employment (for any reason), you shall not, either directly or indirectly, for yourself, or through, on behalf of, or in conjunction with any Person:
- i.
Divert or attempt to divert any current or former business account or customer of the Franchised Facial Bar (or of any Face Foundrié Facial Bar) to any Person, whether by direct or indirect suggestion, referral, inducement, or otherwise; and/or
- ii.
Do or perform, directly or indirectly, any act that might injure or be harmful to the goodwill associated with Franchisor and the System.
- **4.
Legal and Equitable Remedies**.
You understand, acknowledge, and agree that if you do not comply with the requirements of this Agreement, you will cause irreparable injury to Franchisor, and that:
- a.
We or Franchisor will have the right to enforce this Agreement and any of its provisions by going to a court and obtaining an injunction, specific performance, or other equitable relief, without prejudice to any other rights and remedies that we or Franchisor may have for breach of this Agreement;
- b.
You will not raise wrongful termination or other defenses to the enforcement of this Agreement (although you will have the right to raise those issues in a separate legal action); and
- c.
You must reimburse us or Franchisor for any court costs and reasonable attorney's fees that we or Franchisor incur as a result of your violation of this Agreement and having to go to court to seek enforcement.
Source: Item 22 — CONTRACTS (FDD pages 73–74)
What This Means (2025 FDD)
According to the 2025 Face Foundrie Franchise Disclosure Document, a Face Foundrie employee is subject to a non-compete agreement for 18 months following the termination of their employment, regardless of the reason for termination. During this period, the employee is prohibited from engaging, either directly or indirectly, in activities that could divert business from any Face Foundrié Facial Bar or harm the goodwill associated with the Face Foundrie brand. This restriction applies to any person or entity the employee might work with or for.
This non-compete clause prevents former employees from leveraging their knowledge of Face Foundrie's operations and customer base to unfairly compete with the franchise. It aims to protect the franchisor's and franchisee's investment in building brand recognition and customer loyalty. The agreement specifically restricts employees from diverting current or former business accounts or customers to any person or entity and from performing any act that might injure or be harmful to the goodwill associated with Face Foundrie and its system.
Face Foundrie also has legal recourse if an employee violates the non-compete agreement. The franchise agreement states that Face Foundrie has the right to enforce the agreement through court injunctions, specific performance, or other equitable relief. The employee is responsible for reimbursing Face Foundrie for any court costs and reasonable attorney's fees incurred as a result of the employee's violation, ensuring that Face Foundrie can protect its interests and the integrity of its brand.
Prospective franchisees should be aware of these restrictions and ensure that their employees understand and agree to these terms as part of their employment contracts. This helps maintain the competitive advantage and protect the franchise's market position. Franchisees should consult with legal counsel to ensure that their employment agreements are compliant with local laws and regulations regarding non-compete clauses.