What is the Face Foundrie franchisee's obligation regarding conspicuously identifying itself?
Face_Foundrie Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee will not include the Marks on any employment- or personnel-related documents, including without limitation employment applications, employment agreements, or methods of payment to its employees.
Franchisee will receive and maintain in each of its employee's files an acknowledgement that the employee works for Franchisee and not Franchisor, and Franchisee will on a monthly basis or as otherwise requested by Franchisor acknowledge in writing to Franchisor that such acknowledgements have been completed and maintained in Franchisee's personnel files.
Source: Item 22 — CONTRACTS (FDD pages 73–74)
What This Means (2025 FDD)
According to the 2025 Face Foundrie FDD, franchisees must ensure their employees acknowledge they work for the franchisee, not Face Foundrie Franchising L.L.C. To comply, the franchisee must maintain in each employee's file a signed statement confirming their employer is the franchisee, not Face Foundrie itself. The franchisee must also provide written confirmation to Face Foundrie on a monthly basis, or as otherwise requested, that these acknowledgments are completed and kept in the personnel files.
This requirement aims to clearly differentiate the franchisee as an independent business owner from Face Foundrie. This is a common practice in franchising to avoid any potential legal or operational confusion about who is the actual employer. By ensuring employees understand they are employed by the franchisee, it helps protect Face Foundrie from potential liabilities related to the franchisee's employees.
For a prospective Face Foundrie franchisee, this means implementing a system for collecting and maintaining these employee acknowledgments. This includes creating the acknowledgment form, ensuring each employee signs it, storing the forms securely, and providing regular updates to Face Foundrie. Failure to comply with these requirements could result in a breach of the franchise agreement and potential penalties.
Furthermore, the Face Foundrie franchisee cannot include Face Foundrie's trademarks on any employment-related documents, such as applications or payment methods. This reinforces the separation between the franchisee's business operations and the Face Foundrie brand, ensuring that all employment matters are handled independently by the franchisee.