Under what conditions can the Focalpoint Coaching franchisor terminate the agreement?
Focalpoint_Coaching Franchise · 2025 FDDAnswer from 2025 FDD Document
C. FRANCHISOR'S ALTERNATE REMEDIES UPON FRANCHISEE'S DEFAULT.
In addition to, and without limiting, Franchisor's other rights and remedies under this Agreement, any other agreement or applicable law, upon the occurrence of any event giving rise to Franchisor's right to terminate this Agreement under the preceding Subsection 14.B, Franchisor may instead elect, at Franchisor's sole option and upon providing Franchisee written notice, to take any or all of the following actions without terminating this Agreement:
- (1) temporarily remove information concerning the Franchised Business from any Website or extranet operated for the network of FocalPoint Franchised Businesses, and/or restrict Franchisee's or the Franchised Business' participation in other programs or benefits offered on or through any such Website or extranet; or
- (2) suspend Franchisee's and the Franchised Business' right to participate in any advertising, marketing, promotional, or public relations programs that Franchisor or the Fund provides, authorizes, or administers.
Source: Item 22 — Contracts (FDD pages 56–57)
What This Means (2025 FDD)
I am unable to provide the specific conditions under which Focalpoint Coaching can terminate the franchise agreement, according to the 2025 Franchise Disclosure Document. While Item 22 discusses various aspects of the franchise agreement, including termination-related clauses such as the franchisee's obligations upon termination or expiration, and alternate remedies the franchisor may pursue upon the franchisee's default, it does not detail the specific events or conditions that would trigger the franchisor's right to terminate the agreement.
Item 22 does mention that upon the occurrence of any event giving rise to the Franchisor's right to terminate the agreement under Subsection 14.B, the Franchisor has alternate remedies. However, the actual conditions for termination are not listed in the provided excerpts.
A prospective Focalpoint Coaching franchisee should carefully review Section 14.B of the actual Franchise Agreement within the FDD to fully understand the circumstances that could lead to termination. It would also be prudent to discuss this section with a franchise attorney to clarify any ambiguities and understand their rights and obligations under the agreement.