Can Focus Cfo unilaterally modify the attachments to the franchise agreement?
Focus_Cfo Franchise · 2025 FDDAnswer from 2025 FDD Document
No amendment, change or variance from this Agreement shall be binding on either party unless executed in writing by both parties; provided however Focus CFO may, from time to time and at its sole discretion, modify, revise, amend or change the Attachments attached hereto upon written notice to Franchisee.
Nothing in this Agreement, however, is intended to disclaim the representations Focus CFO has made in the Franchise Disclosure Document that we furnished to Franchisee.
Source: Item 23 — Receipts (FDD pages 37–126)
What This Means (2025 FDD)
According to the 2025 Focus Cfo Franchise Disclosure Document, Focus Cfo can modify the attachments to the franchise agreement. Specifically, Focus Cfo may modify, revise, amend, or change the attachments with written notice to the franchisee. This ability for Focus Cfo to make unilateral changes is a notable aspect of the franchise agreement.
Several attachments to the Focus Cfo franchise agreement are subject to modification by Focus Cfo. Attachment E, concerning Franchisee Performance Standards and Failure to Perform Guidelines, Attachment F, addressing Authority to Bind Focus CFO, and Attachment G, outlining Required IT Services, can all be modified by Focus Cfo with 30 days prior written notice. Similarly, Attachment C, which details Franchisee Training Requirements, can also be modified by Focus Cfo with 30 days prior written notice.
Focus Cfo also retains the right to modify the Compensation Policy, which is detailed in Attachment B. However, Focus Cfo cannot adjust each individual percentage rate set forth in the then-current Compensation Policy by more than one individual percentage point per year without the franchisee's prior written consent. For example, the tiered rates of the Area President compensation scale can be reduced from 35% to 34%, 30% to 29%, 25% to 24% and 20% to 19%, and the 5% reduction for corporate website leads can be increased to 6%, and the 10% reduction for CSLG's can be increased to 11%.
This unilateral modification clause is not uncommon in franchising, but prospective Focus Cfo franchisees should carefully consider the implications. While Focus Cfo is required to provide written notice, the franchisee does not have the power to reject these changes. This could impact various aspects of the franchise operation, including performance standards, training requirements, IT services, and the ability to bind Focus Cfo in agreements. Franchisees should stay informed of any changes and understand how they may affect their business.