What are some examples of non-curable defaults that would allow Focalpoint Coaching to terminate the franchise?
Focalpoint_Coaching Franchise · 2025 FDDAnswer from 2025 FDD Document
(h) below; and 90 days to relocate the Office to a new site if you lose possession of the premises. | | h. “Cause” defined- | | Non-curable defaults include: misrepresentation in acquiring the franchise; failure to open and operate the Franchised Business within 60 days after Franchise Agreement’s Effective Date; failure to complete training; abandonment; unapproved transfers; conviction of a felony crime or other offense; dishonest or unethical conduct; you, any of your owners, representatives, or employees make any illicit statements, including in an email to our employees, officers, or directors, or in any social media posts, or any other unlawful, threatening, abusive, libelous, defamatory, obscene, vulgar, pornographic, gambling-related, drug-related, | | non-curable | | | | defaults | | |
| PROVISION | SECTION IN | SUMMARY |
|---|---|---|
| FRANCHISE | ||
| OR OTHER | ||
| AGREEMENT | ||
| alcohol-related, profane, racist, sexually explicit | ||
| or indecent comments that in our opinion | ||
| negatively affects us, our employees, our | ||
| operations or otherwise affects the Franchised | ||
| Business’ reputation or the goodwill associated | ||
| with the Marks; making an unauthorized | ||
| representation or warranty on our behalf; | ||
| unauthorized use or disclosure of the Operations | ||
| Manual or other confidential information; failure | ||
| to pay taxes; failure to pay amounts owed to | ||
| clients, FocalPoint Franchised Business | ||
| franchise owners or third parties; repeated | ||
| defaults (even if cured); an assignment for the | ||
| benefit of creditors; appointment of a trustee or | ||
| receiver; violation of any anti-terrorism law; | ||
| termination of any other agreement between you | ||
| (or your owners or affiliates) and us (or our | ||
| owners and affiliates) due to failure to comply | ||
| with the agreement; knowingly maintaining | ||
| false books or records or submitting false | ||
| reports; refusing to permit us to inspect the | ||
| Office or Franchised Business or your books, | ||
| records, or accounts; contacting Brian Tracy or | ||
| Campbell Fraser or their respective employees, | ||
| agents or affiliates without our prior written | ||
| consent; interfering or attempting to interfere | ||
| with our contractual relationships; |
Source: Item 17 — Renewal, Termination, Transfer, and Dispute Resolution (FDD pages 43–48)
What This Means (2025 FDD)
According to Focalpoint Coaching's 2025 Franchise Disclosure Document, there are specific defaults that, if committed by the franchisee, cannot be corrected and will result in the termination of the franchise agreement by Focalpoint Coaching. These non-curable defaults include instances such as misrepresentation during the franchise acquisition process, failing to open and operate the Franchised Business within 60 days of the Franchise Agreement's Effective Date, or not completing the required training program.
Additionally, Focalpoint Coaching can terminate the franchise for actions like abandoning the business, engaging in unapproved transfers of the franchise, or if the franchisee is convicted of a felony or other offense. Dishonest or unethical conduct, making illicit statements (including in emails or social media) that negatively affect Focalpoint Coaching, or engaging in unlawful, threatening, abusive, libelous, defamatory, obscene, vulgar, pornographic, gambling-related, or drug-related behavior also constitute non-curable defaults.
Other non-curable defaults include making unauthorized representations or warranties on behalf of Focalpoint Coaching, unauthorized use or disclosure of the Operations Manual or confidential information, failure to pay taxes or amounts owed to clients or other franchisees, repeated defaults (even if cured), assignment for the benefit of creditors, violation of anti-terrorism laws, termination of other agreements with Focalpoint Coaching due to non-compliance, maintaining false books or records, refusing inspections, contacting Brian Tracy or Campbell Fraser without consent, interfering with Focalpoint Coaching's contractual relationships, and misrepresentation or failure to disclose material information to governmental authorities. These stipulations highlight the importance of adhering to the franchise agreement and maintaining ethical and legal compliance to avoid termination.