Is a Face Foundrie franchisee required to obtain and maintain insurance during the construction period?
Face_Foundrie Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee shall obtain and maintain in force during the entire period of construction the insurance required under this Agreement.
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 obtain and maintain insurance during the entire construction period of their Facial Bar. This requirement is outlined in Item 22, which discusses various contractual obligations of the franchisee.
This means that before and throughout the construction of the Face Foundrie location, the franchisee must secure and keep active the insurance coverage mandated by the franchise agreement. This protects both the franchisee and Face Foundrie from potential financial losses due to accidents, damages, or liabilities that may arise during the construction phase.
Failure to maintain the required insurance during construction could result in a breach of the franchise agreement, potentially leading to penalties or even termination of the agreement. It is important for prospective franchisees to carefully review the insurance requirements outlined in the franchise agreement and ensure they can comply with these obligations.