What remedy is Itan entitled to if a franchisee breaches section 14?
Itan Franchise · 2025 FDDAnswer from 2025 FDD Document
ent of similar covenants with respect to other franchisees benefits you and the Owners by preventing others from unfairly competing with your Salon; and (c) you and the Owners have sufficient resources, business experience and opportunities to earn an adequate living while complying with the covenants in §14.
- 14.7. Breach of Covenants. You and the Owners agree that: (a) any breach of §14 is likely to cause substantial and irreparable damage to us and/or other franchisees for which there is no adequate remedy at Law; and (b) we are entitled to injunctive relief if you or an Owner breach §14, together with any other relief available at equity or Law. We will notify you if we intend to seek injunctive relief but we need not post a bond. If a cour
Source: Item 23 — RECEIPT (FDD pages 44–190)
What This Means (2025 FDD)
According to Itan's 2025 Franchise Disclosure Document, if a franchisee breaches section 14 of the franchise agreement, Itan is entitled to injunctive relief. This means Itan can seek a court order to stop the franchisee from continuing the actions that constitute the breach.
Additionally, Itan is entitled to any other relief available at equity or law. This encompasses a range of legal and equitable remedies, including specific performance, which compels the franchisee to fulfill their obligations under the agreement, and the recovery of monetary damages to compensate Itan for any losses suffered due to the breach.
Itan will notify the franchisee if they intend to seek injunctive relief and is not required to post a bond. However, if a court requires Itan to post a bond, the bond amount will not exceed $1,000. The remedies available to Itan are cumulative, meaning they can be combined with other remedies available under the agreement, at law, or in equity.