Who is responsible for the expense of submitting reports to the franchisor for a Gokhale Method franchise?
Gokhale_Method Franchise · 2024 FDDAnswer from 2024 FDD Document
You agree to report to us promptly and via email any concerns or complaints from your students or former students.
Such reports shall be in a format and contain such information as we prescribe.
You will, at your own expense, research the requirements for and obtain all permits and licenses for the Franchised Business and will then operate the Franchised Business in accordance with all applicable laws and regulations, adhere to good business practices and observe high standards of honesty, integrity, fair dealing and ethical business conduct in all dealings with customers, suppliers and us.
Source: Item 22 — CONTRACTS (FDD page 34)
What This Means (2024 FDD)
According to the 2024 Gokhale Method Franchise Disclosure Document, the franchisee is responsible for the expense of submitting reports to the franchisor.
Specifically, the franchisee is obligated to report any concerns or complaints from students or former students to Gokhale Method Institute, Inc. These reports must be in a format and contain information as prescribed by the franchisor.
The FDD states that the franchisee will, at their own expense, research the requirements for and obtain all permits and licenses for the Franchised Business and will then operate the Franchised Business in accordance with all applicable laws and regulations. This indicates that the franchisee bears the financial responsibility for ensuring compliance and reporting requirements related to operating the franchise.
While the FDD excerpt does not explicitly state who bears the expense of submitting reports, it does state that the franchisee is responsible for obtaining permits and licenses at their own expense. It can be inferred that the franchisee would also bear the expense of submitting reports to the franchisor.