For how long after termination of employment with Face Foundrie is an employee prohibited from diverting business accounts?
Face_Foundrie Franchise · 2025 FDDAnswer from 2025 FDD Document
You covenant and agree that during the term of your employment and for 18 months following the termination of your employment (for any reason), you shall not, either directly or indirectly, for yourself, or through, on behalf of, or in conjunction with any Person:
- i.
Divert or attempt to divert any current or former business account or customer of the Franchised Facial Bar (or of any Face Foundrié Facial Bar) to any Person, whether by direct or indirect suggestion, referral, inducement, or otherwise; and/or
- ii.
Do or perform, directly or indirectly, any act that might injure or be harmful to the goodwill associated with Franchisor and the System.
- **4.
Legal and Equitable Remedies**.
You understand, acknowledge, and agree that if you do not comply with the requirements of this Agreement, you will cause irreparable injury to Franchisor, and that:
- a.
We or Franchisor will have the right to enforce this Agreement and any of its provisions by going to a court and obtaining an injunction, specific performance, or other equitable relief, without prejudice to any other rights and remedies that we or Franchisor may have for breach of this Agreement;
- b.
You will not raise wrongful termination or other defenses to the enforcement of this Agreement (although you will have the right to raise those issues in a separate legal action); and
- c.
You must reimburse us or Franchisor for any court costs and reasonable attorney's fees that we or Franchisor incur as a result of your violation of this Agreement and having to go to court to seek enforcement.
Source: Item 22 — CONTRACTS (FDD pages 73–74)
What This Means (2025 FDD)
According to Face Foundrie's 2025 Franchise Disclosure Document, an employee is prohibited from diverting business accounts for 18 months following the termination of their employment. This restriction applies regardless of the reason for termination. The employee is prohibited from diverting or attempting to divert any current or former business account or customer of the Franchised Facial Bar (or of any Face Foundrié Facial Bar) to any Person, whether by direct or indirect suggestion, referral, inducement, or otherwise. They are also prohibited from performing any act that might injure or be harmful to the goodwill associated with Face Foundrie and its system.
This non-compete provision is designed to protect Face Foundrie's customer relationships and goodwill. It prevents former employees from leveraging their knowledge of Face Foundrie's clients and business practices to unfairly compete with the franchise. This type of clause is common in franchise agreements to safeguard the franchisor's and franchisees' investments in building a brand and customer base.
Face Foundrie also has legal and equitable remedies available if an employee does not comply with the requirements of the agreement. Face Foundrie has the right to enforce the agreement and any of its provisions by going to a court and obtaining an injunction, specific performance, or other equitable relief, without prejudice to any other rights and remedies that Face Foundrie may have for breach of the agreement. The employee will not raise wrongful termination or other defenses to the enforcement of this agreement (although the employee will have the right to raise those issues in a separate legal action); and the employee must reimburse Face Foundrie for any court costs and reasonable attorney's fees that Face Foundrie incurs as a result of the employee's violation of this agreement and having to go to court to seek enforcement.