What is the Gokhale Method franchisee's obligation regarding the payment of expenses incurred by Gokhale Method for making changes to the location?
Gokhale_Method Franchise · 2024 FDDAnswer from 2024 FDD Document
such specific additional changes thereto as we may reasonably request for that purpose. In the event you fail or refuse to comply with the requirements of this Section 16.4, we shall have the right to enter upon the Location, without being guilty of trespass or any other tort, for the purpose of making or causing to be made such changes as may be required, at the expense of you, which expense you agree to pay upon demand.
Source: Item 22 — CONTRACTS (FDD page 34)
What This Means (2024 FDD)
According to the 2024 Gokhale Method Franchise Disclosure Document, a franchisee is responsible for covering the expenses incurred by Gokhale Method if the franchisee fails or refuses to make required changes to their business location after the termination or expiration of the franchise agreement.
Specifically, if a franchisee does not comply with the requirements to modify or alter the location to distinguish it from a Gokhale Method Franchised Business, Gokhale Method has the right to enter the location and make the necessary changes themselves. The franchisee then agrees to pay these expenses upon demand.
This obligation protects Gokhale Method's brand and ensures that terminated or expired franchises do not continue to represent themselves as part of the Gokhale Method system. It is a financial risk for franchisees, as they could face unexpected costs if they do not promptly make the required changes to the location themselves.