What is the name of the agreement being described between Fly To Fit Franchise and the franchisee?
Fly_To_Fit Franchise · 2024 FDDAnswer from 2024 FDD Document
| | December 31. | |
EXHIBIT C
MULTI-UNIT DEVELOPMENT AGREEMENT
| This Multi-Unit Development Agreement (this "MUDA") is made between Fly To Fit Franchise, | |
|---|---|
| LLC, a Delaware Limited Liability Company | |
| ("Fly To Fit Franchise") and, a | |
| ("Franchisee") on the Effective Date. |
Background Statement: On the same day as they execute this MUDA, Fly To Fit Franchise and Franchisee have entered into a Franchise Agreement for the franchise of a Fly To Fit business (the "Franchise Agreement"; capitalized terms used but not defined in this MUDA have the meanings given in the Franchise Agreement). Fly To Fit Franchise and Franchisee desire that Franchisee develop multiple Fly To Fit businesses.
1. Multi-Unit Commitment.
(a) Development Schedule; Fee.
Source: Item 23 — RECEIPTS (FDD pages 44–134)
What This Means (2024 FDD)
According to Fly To Fit's 2024 Franchise Disclosure Document, two agreements are referenced between Fly To Fit Franchise and the franchisee: the Franchise Agreement and the Multi-Unit Development Agreement (MUDA). The Franchise Agreement allows the franchisee to operate a Fly To Fit business. The MUDA outlines the franchisee's commitment to develop multiple Fly To Fit businesses according to a set schedule.
The MUDA does not grant the franchisee the right to immediately open and operate a Fly To Fit business. The franchisee can only do so after executing a separate Franchise Agreement for each specific Fly To Fit location. This means that while the MUDA sets the stage for expansion, each individual Fly To Fit business requires its own Franchise Agreement.
Several state-specific addenda (for example, in New York, North Dakota, Rhode Island, Washington, and Illinois) to both the Franchise Agreement and the MUDA are included in the FDD. These addenda modify the original agreements to comply with state laws, covering aspects like dispute resolution, waivers, and governing law. Prospective franchisees should carefully review these addenda to understand how the agreements are modified in their specific state.