Which sections of the Franchise Agreement for Focalpoint Coaching are modified by this Rider?
Focalpoint_Coaching Franchise · 2025 FDDAnswer from 2025 FDD Document
- a. The following Sections are hereby deleted in their entirety from the Franchise Agreement: 1.B(2), 1.B(3), 1.B(6), 1.B(7), 1.B(11) and 1.B(13).
- b. Section 1.B(9) of the Franchise Agreement is revised to read as follows:
- (9) That this Agreement's terms and covenants are reasonably necessary for Franchisor to maintain Franchisor's high standards of quality and service, as well as the uniformity of those standards at each FocalPoint Franchised Business, and to protect and preserve the goodwill of the Marks.
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- Initial Fees. The following language is added to the end of Sections 3.A and 4.A of the Franchise Agreement:
In lieu of an impound of franchise fees, we will not require or accept the payment of any initial franchise fees until you (a) have received all pre-opening and initial training obligations that you are entitled to under the Franchise Agreement or disclosure document, and (b) are open for business.
- Addition of Paragraphs. The following is added to the end of the Franchise Agreement:
In recognition of the requirements by the Washington Franchise Investment Protection Act and the Rules and Regulations promulgated thereunder (the "Act"), the Franchise Agreement of FocalPoint Coaching, Inc. shall be modified as follows:
In the event of a conflict of laws, the provisions of the Washington Franchise Investment Protection Act, Chapter 19.100 RCW will prevail.
Source: Item 22 — Contracts (FDD pages 56–57)
What This Means (2025 FDD)
According to Focalpoint Coaching's 2025 Franchise Disclosure Document, the Franchise Agreement is subject to modifications through a Rider, with specific changes depending on the franchisee's location. For franchisees in Washington, Sections 1.B(2), 1.B(3), 1.B(6), 1.B(7), 1.B(11), and 1.B(13) are entirely deleted. Section 1.B(9) is revised to emphasize the necessity of the agreement's terms for maintaining Focalpoint Coaching's quality standards and brand uniformity. Additionally, language is added to Sections 3.A and 4.A to defer initial franchise fee payments until pre-opening obligations are met and the business is open.
For franchisees in Illinois, language is added to the end of Section 17.F regarding governing law, Section 17.G regarding consent to jurisdiction, Section 17.H regarding waiver of jury trial, and Section 17.J regarding limitation of claims. These additions ensure compliance with the Illinois Franchise Disclosure Act.
For franchisees in Minnesota, the last sentence of Section 3.K regarding insufficient funds is replaced, setting a $30 processing fee. Language is added to Section 4.A, 12.C.(8), and 13.C regarding releases, ensuring they do not conflict with Minnesota franchise law. Section 5.C is modified to include an indemnification clause for trademark use as required by Minnesota law. Sections 13 and 14.B are modified to comply with Minnesota's notice requirements for termination and non-renewal. Sections 17.F and 17.G are modified to protect franchisee rights under Minnesota law, and Section 17.H regarding waiver of punitive damages and jury trial may be deleted if required by Minnesota law. Finally, Section 17.J is modified to reflect Minnesota's statute of limitations.
For franchisees in North Dakota, language is added to Sections 3.A and 4.A to defer initial fees until pre-opening obligations are satisfied. Language is added to Sections 4.A, 12.C.(8), and 13.C regarding releases, ensuring compliance with North Dakota law. Section 15.D regarding covenants not to compete is modified to acknowledge their general unenforceability in North Dakota. Language is added to Sections 17.F, 17.G, and 17.J to comply with North Dakota franchise law. Finally, a "No Waiver of Disclaimer of Reliance" provision is included, superseding any conflicting terms.