Is Focus Cfo required to provide a reason if consent or approval is withheld?
Focus_Cfo Franchise · 2025 FDDAnswer from 2025 FDD Document
In no event may Franchisee make any claim for money damages based upon any claim or assertion that Focus CFO has unreasonably withheld or delayed any consent or approval under this Agreement. Franchisee waives any such claim for damages. Franchisee may not claim any such damages by way of set off, counterclaim, or defense. Franchisee's sole remedy for the claim will be an action or
proceeding to enforce the Agreement provisions consistent with the terms of this Agreement.
Source: Item 23 — Receipts (FDD pages 37–126)
What This Means (2025 FDD)
According to the 2025 Focus Cfo Franchise Disclosure Document, Focus Cfo is not required to provide a reason if consent or approval is withheld. Specifically, Section 16.1 states that in no event may a franchisee make any claim for money damages based upon any claim or assertion that Focus Cfo has unreasonably withheld or delayed any consent or approval under the Franchise Agreement. The franchisee waives any such claim for damages and may not claim any such damages by way of set off, counterclaim, or defense.
This means that Focus Cfo franchisees cannot seek monetary compensation if they believe Focus Cfo has unreasonably withheld or delayed consent or approval. The franchisee's sole remedy for such a claim is an action or proceeding to enforce the agreement provisions consistent with the terms of the agreement.
This clause significantly limits a franchisee's legal recourse in situations where Focus Cfo's consent or approval is required. While a franchisee can take action to enforce the agreement, they are barred from claiming money damages related to the withholding or delaying of consent. This could have implications for projects or initiatives that depend on Focus Cfo's timely approval, as delays could potentially lead to financial losses for the franchisee without the ability to recover those losses from Focus Cfo.