factual

Can a Gokhale Method franchisee teach students aggregated together by a third party that is not the franchisee?

Gokhale_Method Franchise · 2024 FDD

Answer from 2024 FDD Document

  • 1.1. Grant of Franchise. We grant to you the right to teach the Gokhale System in the manner and to the categories of students we authorize ("Approved Formats") in accordance with the terms and conditions set forth in this Agreement. This Grant of Franchise is to teach the Gokhale System only to individual students, or to groups of students that were solicited individually ("Consumer Students"). No License is hereby granted to any other types of students, including, but not limited to, groups of students organized by companies or organizations ("Corporate Groups") or students with no prior affiliation aggregated together by a third party that is not you ("Wholesale Groups").

Source: Item 22 — CONTRACTS (FDD page 34)

What This Means (2024 FDD)

According to the 2024 Gokhale Method Franchise Disclosure Document, franchisees are specifically restricted in the types of student groups they are authorized to teach. The franchise agreement grants the right to teach the Gokhale System only to individual students or groups of students solicited individually, referred to as "Consumer Students."

Notably, Gokhale Method franchisees are explicitly prohibited from teaching other types of student groups. This includes groups organized by companies or organizations ("Corporate Groups") and, most relevant to the question, students with no prior affiliation aggregated together by a third party that is not the franchisee ("Wholesale Groups").

This restriction means that a Gokhale Method franchisee cannot offer classes or workshops to groups of students brought together by an external organization. This limitation is a significant factor for prospective franchisees to consider, as it defines the scope of their potential customer base and the marketing strategies they can employ. Franchisees must focus on attracting individual students or building their own groups rather than partnering with external entities to fill classes.

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.