factual

In the context of the Gokhale Method Franchise Agreement, what is the relationship between the 'Amendment' and the 'Agreement'?

Gokhale_Method Franchise · 2024 FDD

Answer from 2024 FDD Document

The Gokhale Method, Inc. Franchise Agreement between ("Franchisee" or "You")
and Gokhale Method, Inc. (the "Franchisor") dated (the "Agreement") shall be amended by the
addition of the following language, which shall be considered an integral part of the Agreement (the
"Amendment"):

Source: Item 22 — CONTRACTS (FDD page 34)

What This Means (2024 FDD)

According to the 2024 Gokhale Method Franchise Disclosure Document, the 'Amendment' is considered an integral part of the 'Agreement'. This means that any changes, additions, or modifications included in the Amendment are legally binding and have the same force as the original agreement.

For a prospective Gokhale Method franchisee, this is important because the Franchise Agreement may be altered by state-specific amendments, as indicated by Exhibit D, which contains state amendments. Furthermore, Exhibit A of the franchise agreement is the Franchise Fee Schedule and Price List, which specifies what the franchisee pays the franchisor for the rights to teach the Gokhale Method, as specified in the Franchise Agreement.

Notably, an addendum to the Gokhale Method Franchise Disclosure Document for the state of California indicates that certain provisions in the franchise documents must be amended to comply with California law. This includes areas related to termination, transfer, or non-renewal of the franchise, and covenants not to compete. If there are inconsistencies between the agreement and California law, California law will take precedence.

Therefore, franchisees need to carefully review all amendments and addenda along with the main Franchise Agreement to fully understand their rights and obligations. This is especially crucial in states like California where specific legal provisions can override the standard terms of the agreement.

Disclaimer: This information is extracted from the 2024 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.