What exhibit in the Face Foundrie Franchise Agreement contains the Personal Covenants?
Face_Foundrie Franchise · 2025 FDDAnswer from 2025 FDD Document
- 7.04 Personal Covenants of Restricted Parties. As a condition to the effectiveness of this Agreement, and at the time Franchisee delivers this signed Agreement to Franchisor, each Restricted Party must sign and deliver to Franchisor the Personal Covenants attached hereto as Exhibit E (the "Personal Covenants"), agreeing to be bound personally by all the provisions of Sections 7.01, 7.02, 7.03, 7.06 and 13.05 hereof. If there are any changes in the identity of any such Restricted Party while this Agreement is in effect, Franchisee must notify Franchisor promptly and cause the new Restricted Party to sign and deliver to Franchisor the Personal Covenants.
Source: Item 22 — CONTRACTS (FDD pages 73–74)
What This Means (2025 FDD)
According to the 2025 Face Foundrie Franchise Disclosure Document, the Personal Covenants that Restricted Parties must agree to are found in Exhibit E of the Franchise Agreement. Specifically, as a condition of the Franchise Agreement's effectiveness, each Restricted Party is required to sign and deliver these Personal Covenants to Face Foundrie. These covenants ensure that the Restricted Parties are personally bound by certain provisions outlined in the agreement, such as those in Sections 7.01, 7.02, 7.03, 7.06, and 13.05.
This requirement is crucial for Face Foundrie to protect its interests and maintain the integrity of its franchise system. By having Restricted Parties agree to these covenants, Face Foundrie ensures that key individuals are committed to upholding the standards and obligations set forth in the Franchise Agreement. This personal commitment can help prevent potential breaches of contract and safeguard Face Foundrie's brand reputation and operational consistency.
Furthermore, if there are any changes in the identity of a Restricted Party during the term of the Franchise Agreement, the franchisee is obligated to promptly notify Face Foundrie and ensure that the new Restricted Party also signs and delivers the Personal Covenants. This ongoing requirement ensures that all relevant individuals remain bound by the agreement's terms, regardless of any changes in personnel. This helps Face Foundrie maintain continuous protection of its system and interests throughout the duration of the franchise relationship.