What happens to the Focus Cfo franchise agreement upon the death of the Equity Owner?
Focus_Cfo Franchise · 2025 FDDAnswer from 2025 FDD Document
- 11.4.
Permanent Disability or Death.
Should the Equity Owner become physically or mentally disabled or unable to perform the services required by this Agreement for a period of ninety (90) consecutive days, or for an aggregate period of one hundred twenty (120) days in any one hundred eighty (180) day period, Focus CFO has a right to terminate this Agreement by written notice to Franchisee.
This Agreement shall terminate immediately upon the death of the Equity Owner.
Source: Item 23 — Receipts (FDD pages 37–126)
What This Means (2025 FDD)
According to the 2025 Focus Cfo Franchise Disclosure Document, the franchise agreement terminates immediately upon the death of the Equity Owner. The Equity Owner is the individual who owns the equity in the business entity (such as an LLC) that enters into the Franchise Agreement with Focus CFO.
Upon termination of the agreement due to the death of the Equity Owner, Focus CFO will pay the franchisee payments due through the date of termination under Section 8 of the agreement. So long as the franchisee's Book of Business has not been transferred, payments for work credited to the franchisee's Book of Business prior to the date of termination and collected by Focus CFO within 90 days of the termination of the agreement will be paid to the franchisee within 120 days of termination.
Following the termination of the Focus Cfo franchise agreement, all rights granted to the franchisee are terminated, and the franchisee must immediately cease operating as an Area President. The franchisee must also stop representing themselves as a present franchisee or independent contractor of Focus CFO. Additionally, the franchisee must cease using Focus CFO's trade secrets, confidential information, and marks and return all confidential information to Focus CFO. Focus CFO has the right to require the franchisee to sign a release in connection with any refund of the Franchisee Fee to the extent permitted by applicable law.