What is the Floyds 99 Developer's obligation regarding compliance with the terms and conditions of the Franchise Agreement for the first barbershop?
Floyds_99 Franchise · 2025 FDDAnswer from 2025 FDD Document
- 2.3 Franchise Agreement First Barbershop Developed. The parties acknowledge that the Franchise Agreement, attached hereto as Exhibit IV and by this reference incorporated herein, governing the operation of Developer's first Barbershop to be opened hereunder, is being executed concurrently with this Agreement. Developer agrees to comply with the terms and conditions of the Franchise Agreement as a part of its obligations hereunder and acknowledges that failure to execute and comply with such Franchise Agreement is a breach of this Agreement.
Source: Item 23 — RECEIPT (FDD pages 58–229)
What This Means (2025 FDD)
According to the 2025 Floyds 99 Franchise Disclosure Document, a Developer must comply with the terms and conditions outlined in the Franchise Agreement for their first barbershop. This Franchise Agreement, included as Exhibit IV, is executed concurrently with the Development Agreement.
Compliance with the Franchise Agreement is a mandatory obligation for the Developer. Failure to adhere to the terms and conditions of the Franchise Agreement is considered a breach of the Development Agreement.
This requirement ensures that the Developer operates their first Floyds 99 location according to the franchisor's standards and procedures from the outset. It also sets the stage for future franchise agreements, as non-compliance can have serious repercussions on the overall Development Agreement.