Under what circumstances is the Rider to the Franchise Agreement signed for a Focalpoint Coaching franchise?
Focalpoint_Coaching Franchise · 2025 FDDAnswer from 2025 FDD Document
LIFORNIA**
| Henderson, | Nevada | 89052 | ("we," | "us" | or | "our"), | and |
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| Nevada corporation with its principal business address at 2831 St. Rose Parkway, Suite 234, the Franchise Agreement (defined below), by and between FOCALPOINT COACHING, INC., a | |||||||
| This Rider | (the "Rider") is made and entered into as of the Effective Date as stated in |
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- Background. We and you are parties to that certain Franchise Agreement that has been signed at the same time as the signing of this Rider (the "Franchise Agreement"). This Rider is part of the Franchise Agreement. This Rider is being signed because (a) the offer or sale of the franchise for the Franchised Business that you will operate under the Franchise Agreement was made in the State of California, and/or (b) you are a resident of California and the Franchised Business will be located in California.
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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:
Despite the payment provisions above, payment of all initial fees owed by you to us under this Agreement is postponed until after all of our initial obligations are complete and you commence doing business.
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- Late Fees and Interest. Section 3.I of the Franchise Agreement is revised to reflect that the maximum interest rate in California currently is 10% annually, notwithstanding any statement to the contrary contained in Section 3.I of the Franchise Agreement.
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- No Waiver of Disclaimer of Reliance. No statement, questionnaire or acknowledgment signed or agreed to by a franchisee in connection with the commencement of the franchise relationship shall have the effect of (i) waiving any claims under any applicable state franchise law, including fraud in the inducement, or (ii) disclaiming reliance on any statement made by any franchisor, franchise seller, or any other person acting on behalf of the franchisor. This provision supersedes any other term of any document executed in connection with the franchise.
SIGNATURES ON THE FOLLOWING PAGE
IN WITNESS WHEREOF, the parties have executed and delivered this Rider effective on the Agreement Date.
| FOCALPOINT COACHING, INC. | FRANCHISE OWNER | |---------------------------------------|---------------------------------------------------------------------------------------------------------| | By: Stephen A. Thompson, President | (IF YOU ARE TAKING THE FRANCHISE AS A CORPORATION, LIMITED LIABILITY COMPANY, OR PARTNERSHIP): | | DATED: | [Print Name of Franchisee Entity] By: [Signature of person signing on behalf of entity] Title: DATED: |
RIDER TO THE FOCALPOINT COACHING, INC. FRANCHISE AGREEMENT FOR USE IN HAWAII
| whose principal business address is | | | | | | ("you" or "your").
Source: Item 22 — Contracts (FDD pages 56–57)
What This Means (2025 FDD)
According to the 2025 Focalpoint Coaching Franchise Disclosure Document, a Rider to the Franchise Agreement is signed concurrently with the Franchise Agreement itself. This Rider modifies the standard Franchise Agreement to account for specific state laws and regulations.
The Rider is required if the Focalpoint Coaching franchise will be located in certain states, or if the franchisee is a resident of those states. Specifically, the FDD indicates that Riders are used for franchises located in or franchisees residing in Washington, Virginia, North Dakota, Maryland, New York, South Dakota, Illinois, and Minnesota. Additionally, a Rider is required if the offer or sale of the franchise occurred in Washington, North Dakota, New York, or South Dakota, or if any of the offering or sales activity relating to the Franchise Agreement occurred in Minnesota.
The Rider addresses various legal and financial aspects, including modifications to initial fee payment terms, releases, covenants not to compete, arbitration, and governing law, ensuring compliance with state-specific franchise laws. For example, in Washington, the Rider ensures that Focalpoint Coaching will not require or accept payment of any initial franchise fees until the franchisee has received all pre-opening and initial training obligations and is open for business. In Illinois, the Rider ensures that Illinois law will apply to claims arising under the Illinois Franchise Disclosure Act.
Prospective Focalpoint Coaching franchisees should carefully review the Rider applicable to their state, as it contains important modifications to the standard Franchise Agreement that could affect their rights and obligations. The signatures on the Rider by both Focalpoint Coaching and the franchisee indicate that both parties agree to the modified terms.