What is the 'Effective Date' in relation to the term of the Face Foundrie franchise agreement?
Face_Foundrie Franchise · 2025 FDDAnswer from 2025 FDD Document
ranchisee or of any of Franchisee's Owners by will, declaration of or transfer in trust or under the laws of intestate succession; or (v) any foreclosure upon the Facial Bar or the transfer, surrender of loss by Franchisee of possession, control or management of the Facial Bar.
2. GRANT OF RIGHTS.
- 2.01 Grant of Franchise. Subject to the terms of this Agreement, Franchisor grants to Franchisee the right, and Franchisee assumes the obligation, to operate a Facial Bar from the location set forth on Exhibit A hereto (the "Premises") and to use the System and the Marks solely in connection therewith, for a term of ten (10) years, commencing on the Effective Date of this Agreement (the "Term"). Franchisee may not conduct the business of the Facial Bar or use the System at any site other than the Premises, or relocate the Facial Bar, without Franchisor's prior written consent. Any approved relocation of the Facial Bar shall be at Franchisee's sole cost and expense, and Franchisor shall have the right to charge Franchisee a relocation fee equal to One Thousand Dollars ($1,000) plus any expenses Franchisor incurs in facilitating the relocation. The option for renewal of the rights granted to Franchisee in this Agreement is described in Section 15 below.
- 2.02 Protected Territory. During the Term, Franchisor will not operate (directly or through an Affiliate), nor grant to another Person the right to operate, any Face Foundrié Facial Bar located within the geographical area set forth on Exhibit A hereto (the "Protected Territory"). Notwithstanding the foregoing, Franchisor has the right to operate (directly or through an Affiliate), and to grant to others the right to operate, within the Protected Territory and elsewhere: (a) Face Foundrié Facial Bars or other businesses using any part or all of the System and/or Marks that are operating as of the Effective Date;
Source: Item 22 — CONTRACTS (FDD pages 73–74)
What This Means (2025 FDD)
According to Face Foundrie's 2025 Franchise Disclosure Document, the franchise agreement grants the franchisee the right and obligation to operate a Facial Bar for a term of ten years. This term commences on the Effective Date of the agreement. The franchisee is allowed to operate the business only from the location specified in Exhibit A of the franchise agreement, referred to as the 'Premises.'
Without prior written consent from Face Foundrie, the franchisee cannot conduct the Facial Bar business or use the System at any site other than the approved Premises. Relocating the Facial Bar requires Face Foundrie's approval and is at the franchisee's sole cost and expense. Face Foundrie has the right to charge a relocation fee of $1,000, in addition to any expenses incurred by Face Foundrie in facilitating the relocation.
The franchisee has the option to renew the franchise rights, as detailed in Section 15 of the agreement. During the term of the agreement, Face Foundrie will not operate or grant to others the right to operate a Face Foundrie Facial Bar within the geographical area outlined in Exhibit A, which is designated as the 'Protected Territory.' However, Face Foundrie retains the right to operate or grant others the right to operate businesses using the System and Marks that were already in operation as of the Effective Date, or businesses acquired by Face Foundrie or its affiliates.