Can Gokhale Method deduct fees for continuing education from payments due to a Gokhale Method franchisee?
Gokhale_Method Franchise · 2024 FDDAnswer from 2024 FDD Document
All payments due Franchisee for activities within a calendar month will be made by us within 10 days of the close of such month.
We may deduct any charges, fees or other payments you owe us, including those for continuing education or for products or equipment purchased from us, or any other fees or charges, and remit the balance to you.
Source: Item 22 — CONTRACTS (FDD page 34)
What This Means (2024 FDD)
According to Gokhale Method's 2024 Franchise Disclosure Document, Gokhale Method can deduct continuing education fees from payments due to a franchisee. Specifically, Gokhale Method will make payments to the franchisee for their activities within a calendar month, with payments occurring within 10 days of the month's close.
Gokhale Method retains the right to deduct any charges, fees, or other payments that the franchisee owes to them. This includes deductions for continuing education, as well as for products or equipment purchased from Gokhale Method. The remaining balance is then remitted to the franchisee.
This clause in the franchise agreement means that franchisees should be aware that their monthly payments from Gokhale Method may be reduced by any outstanding fees or charges. It is important for prospective franchisees to understand the costs associated with continuing education and any products or equipment they plan to purchase from Gokhale Method, as these will be deducted from their payments.