What is a Face Foundrie franchisee prohibited from doing after termination regarding the impression of an ongoing agreement?
Face_Foundrie Franchise · 2025 FDDAnswer from 2025 FDD Document
- (e) refrain from operating or doing business under any name or in any manner that may give the general public the impression that this Agreement is still in force or that Franchisee is connected in any way with Franchisor or that Franchisee has the right to use the System or the Marks, and Franchisee, shall not thereafter, directly or indirectly, represent to the public or hold itself out as a present or former operator of Franchisor in connection with the promotion or operation of any other business;
Source: Item 22 — CONTRACTS (FDD pages 73–74)
What This Means (2025 FDD)
According to the 2025 Face Foundrie Franchise Disclosure Document, after the termination or expiration of the Franchise Agreement, a franchisee is prohibited from operating or conducting business in any manner that might lead the public to believe that the agreement is still active or that the franchisee is still connected with Face Foundrie.
Specifically, the franchisee cannot give the impression that they have the right to use the Face Foundrie system or trademarks. Furthermore, the franchisee is barred from representing themselves, directly or indirectly, as a current or former Face Foundrie operator in connection with promoting or operating any other business.
This provision is designed to protect Face Foundrie's brand integrity and prevent confusion among customers. It ensures that former franchisees do not unfairly benefit from the brand's reputation after their agreement has ended. Franchisees should be aware of these restrictions and take steps to clearly differentiate any new business ventures from their former Face Foundrie operations to avoid potential legal issues.