Does the Kidokinetics franchise agreement prohibit franchisees from joining an association of franchisees?
Kidokinetics Franchise · 2024 FDDAnswer from 2024 FDD Document
THE STATE OF MICHIGAN PROHIBITS CERTAIN UNFAIR PROVISIONS THAT ARE SOMETIMES IN FRANCHISE DOCUMENTS. IF ANY OF THE FOLLOWING PROVISIONS ARE IN THESE FRANCHISE DOCUMENTS, THE PROVISIONS ARE VOID AND CANNOT BE ENFORCED AGAINST YOU.
Each of the following provisions is void and unenforceable if contained in any documents relating to a franchise:
- (a) A prohibition on your right to join an association of franchisees.
Source: Item 23 — RECEIPT (FDD pages 59–205)
What This Means (2024 FDD)
According to Kidokinetics's 2024 Franchise Disclosure Document, the franchise agreement cannot enforce a prohibition on a franchisee's right to join an association of franchisees in the state of Michigan. This protection is part of the Michigan state addendum to the franchise agreement.
This means that if a prospective Kidokinetics franchisee is located in Michigan, they have the right to form or join an association with other Kidokinetics franchisees. The franchise agreement cannot contain any provision that would prevent them from doing so. This addendum ensures that franchisees in Michigan are not restricted from collaborating and collectively addressing issues or concerns related to their franchises.
For prospective franchisees outside of Michigan, the FDD does not specify whether similar protections exist. It would be prudent for potential franchisees in other states to carefully review the franchise agreement and any state-specific addenda to understand their rights regarding franchisee associations. They should also consult with a franchise attorney to ensure they are fully aware of their rights and any potential restrictions.