Until when is a Focus Cfo franchisee prohibited from disparaging Focus Cfo?
Focus_Cfo Franchise · 2025 FDDAnswer from 2025 FDD Document
subject to future increases. Focus CFO's right to these damages is cumulative with all other available remedies under this Agreement.
- 13.5. Non-Disparagement. Franchisee hereby agrees that he or she will not, either during the term of this Agreement or at any time following the termination hereof for any reason, disparage Focus CFO, the System or any officer, employee, licensee or franchisee of Focus CFO, or any business practice employed by Focus CFO or any officer, employee, licensee or franchisee thereof through any means of communication, including but not limited to the Internet, blog posts, reviews or social media platforms.
- 13.6. If any provision of this Section 13, as applied to any party or to any circumstances, is adjudged by a court to be invalid or unenforceable, the same will in no way affect any other provision of this Section 13 or any other part of this Agreement, the application of such provision in any other circumstances, or the validity or enforceability of this Agreement.
- 13.7.
Source: Item 23 — Receipts (FDD pages 37–126)
What This Means (2025 FDD)
According to the 2025 Focus Cfo Franchise Disclosure Document, a franchisee is prohibited from disparaging Focus Cfo both during the term of the Franchise Agreement and at any time following the termination of the agreement, regardless of the reason for termination. This restriction extends to disparaging Focus Cfo itself, the Focus Cfo system, or any officer, employee, licensee, or franchisee associated with Focus Cfo. The disparagement prohibition applies to any business practice employed by Focus Cfo or its related parties.
This non-disparagement clause is broad, covering any means of communication, including the internet, blog posts, reviews, and social media platforms. This means a franchisee must be cautious about any public statements or online activity that could be construed as negative or critical of the Focus Cfo brand or its operations, even after the franchise relationship ends.
The FDD also states that this restrictive covenant is considered essential to the agreement. Franchisees acknowledge that Focus Cfo would not enter into the agreement without this protection. Franchisees also acknowledge that the terms, including the restrictive covenants, are fair and reasonably required to protect Focus Cfo, the Focus Cfo system, and the Focus Cfo marks. Franchisees waive any right to challenge these restrictions as overly broad, unreasonable, or unenforceable.
This perpetual restriction on disparagement is stricter than typical non-disparagement clauses in franchising, which often have a limited duration. Prospective franchisees should carefully consider this ongoing obligation and its potential impact on their freedom of expression after leaving the Focus Cfo system. It would be prudent to seek legal counsel to fully understand the implications of this clause.