What happens if a provision of the Itan agreement is deemed invalid or unenforceable?
Itan Franchise · 2025 FDDAnswer from 2025 FDD Document
- (f) If one or more of the provisions of this Agreement shall for any reason be held invalid, illegal or unenforceable in any respect, such invalidity, illegality or unenforceability shall not affect or impair any other provision of this Agreement, but this Agreement shall be construed as if such invalid, illegal or unenforceable provision had not been contained herein.
Source: Item 23 — RECEIPT (FDD pages 44–190)
What This Means (2025 FDD)
According to Itan's 2025 Franchise Disclosure Document, if a provision within the franchise agreement is deemed invalid, illegal, or unenforceable, the remaining provisions of the agreement will still remain in effect. The Itan franchise agreement will be interpreted as if the invalid, illegal, or unenforceable provision was never included in the agreement.
This clause, often referred to as a severability clause, is a standard legal protection mechanism. It ensures that the entire agreement does not become void due to a single flawed provision. This is beneficial for both Itan and the franchisee, as it allows the franchise relationship to continue under the remaining valid terms.
However, franchisees should be aware that while the rest of the agreement remains intact, the specific invalidated provision will not be enforceable. This could potentially impact the franchisee's rights or obligations depending on the nature of the provision. It is advisable to seek legal counsel to understand the implications of any such invalidated provision on their specific franchise agreement with Itan.