Under what circumstances is the addendum being signed for Face Foundrie franchisees?
Face_Foundrie Franchise · 2025 FDDAnswer from 2025 FDD Document
| THIS ADDENDUM (the "Addendum") is made and entered into by and between FACE FOUNDRIÉ FRANCHISING L.L.C., a Minnesota limited liability company ("Franchisor") with its principal business address at 6446 Flying Cloud Drive, Eden Prairie, Minnesota 55344, and a ("Franchisee"), whose |
|---|
| principal business address is |
| 1. |
| BACKGROUND. Franchisor and Franchisee are parties to that certain Franchise Agreement |
| dated, 20 (the "Franchise Agreement"). This Addendum is annexed to |
| and forms part of the Franchise Agreement. This Addendum is being signed because |
| (a) Franchisee is a resident |
| of New York and |
| the Facial Bar that Franchisee will operate under the Franchise Agreement will be located or |
| operated in New York; and/or (b) any of the offering or sales activity relating to the Franchise Agreement |
| occurred in New York. |
| 2. |
| RELEASES. The following is added to the end of Sections 13.02 and 15.03 of the Franchise |
| Agreement: |
| Any release required as a condition of renewal, sale and/or assignment/transfer will not apply |
| to the extent prohibited by the New York State General Business Law. |
Source: Item 22 — CONTRACTS (FDD pages 73–74)
What This Means (2025 FDD)
According to Face Foundrie's 2025 Franchise Disclosure Document, an addendum to the franchise agreement is required under specific circumstances related to the franchisee's location or sales activities. For franchisees opening a Face Foundrie Facial Bar in New York, an addendum is signed if the franchisee is a resident of New York or if any of the offering or sales activity related to the franchise agreement occurred in New York. A similar addendum is required for franchisees opening a location in Maryland if the Facial Bar will be located in Maryland or if any franchise-related activities occurred there.
For franchisees operating in Minnesota, an addendum is required if the Facial Bar will be located in Minnesota, or if any of the offering or sales activity relating to the Franchise Agreement occurred in Minnesota. These addenda modify certain sections of the standard franchise agreement to ensure compliance with state-specific franchise laws.
These addenda address specific legal considerations and franchisee rights within those states. For example, the New York addendum modifies clauses related to releases, termination rights, and injunctive relief to align with New York State General Business Law. The Minnesota addendum addresses items such as notification of infringement and claims, forum for litigation, and renewal/termination terms to comply with Minnesota statutes. The Maryland addendum includes clauses about releases, insolvency, forum for litigation, governing law, and limitation of claims to comply with the Maryland Franchise Registration and Disclosure Law.
Prospective Face Foundrie franchisees should carefully review these addenda, particularly if they plan to operate in New York, Maryland, or Minnesota, to understand how their franchise agreement is modified to comply with local laws. It is important to understand the specific protections and obligations these addenda provide, as they can significantly impact the franchisee's rights and responsibilities.