What section of the Face Foundrie Area Developer Agreement outlines the conditions for immediate termination?
Face_Foundrie Franchise · 2025 FDDAnswer from 2025 FDD Document
6.2 Termination Upon Notice*.* Area Developer shall be deemed to be in default and Franchisor may, at its option, terminate this Agreement and all rights granted hereunder or take any of the actions described in Section 6.5 below, without affording Area Developer any opportunity to cure the default, effective immediately upon the provision of notice to Area Developer (in the manner provided under Section 10 hereof), upon the occurrence of any of the following events of default:
6.2.1 If the Franchise Agreement for any Franchised Facial Bar operated by Area Developer (or an entity affiliated with Area Developer) is terminated.
6.2.2 If Area Developer or any Principal is convicted of a felony, a crime involving moral turpitude, or any other crime or action that Franchisor believes is reasonably likely to have an adverse effect on the System, the Marks, the goodwill associated therewith, or Franchisor's interest therein.
6.2.3 If Area Developer or any Principal purports to transfer any rights or obligations under this Agreement or any the assets of Area Developer in a manner that is contrary to the terms of Section 7 of this Agreement.
6.2.4 If any Franchised Facial Bar operated by Area Developer (or an entity affiliated with Area Developer) is abandoned, or ceases to operate for more than two (2) consecutive days, or five (5) individual days in any twelve (12) month period, without Franchisor's prior written consent.
6.2.5 If Area Developer misuses or makes any unauthorized use of the Marks or any other identifying characteristics of the System.
6.2.6 If Area Developer breaches any material provision of this Agreement which breach is not susceptible to cure.
Source: Item 23 — RECEIPTS (FDD pages 74–257)
What This Means (2025 FDD)
According to Face Foundrie's 2025 Franchise Disclosure Document, Section 6.2 of the Area Developer Agreement details the conditions that can lead to immediate termination of the agreement without an opportunity to cure the default. These conditions include the termination of a Franchise Agreement for any Face Foundrie Facial Bar operated by the Area Developer or an affiliated entity. Additionally, immediate termination can occur if the Area Developer or any principal is convicted of a felony or any crime that Face Foundrie believes could negatively impact the brand.
Further conditions for immediate termination involve unauthorized transfers of rights or assets by the Area Developer, abandonment of a Franchised Facial Bar for more than two consecutive days or five days in a twelve-month period without prior written consent from Face Foundrie, misuse of the brand's trademarks, or any material breach of the agreement that cannot be rectified.
It is important for prospective Area Developers to carefully review Section 6.2 to understand the circumstances under which their agreement could be immediately terminated, as these situations do not allow for a cure period, potentially leading to a swift end to the agreement and loss of development rights.