Does the Kidokinetics franchise agreement specify how the 'then-current training requirements' for renewal are determined?
Kidokinetics Franchise · 2024 FDDAnswer from 2024 FDD Document
| Provision | Franchise or Other | Summary | |
|---|---|---|---|
| Agreement | |||
| a. | Length of the franchise term | Article 3 | The initial term is 10 years. |
| b. | Renewal or extension of the term | Article 4 | You may renew for one additional term of 10 years, subject to our renewal requirements. If you fail to meet any one of these conditions, we may refuse to renew or extend the terms of your Franchise Agreement. |
| c. | Requirements for franchisee to renew or extend | Article 4 | Be in full compliance, provide written notice to us at least 90 days, but not more than nine months, before the end of the term, update machinery, equipment, tools and vehicles as required, not be in default of any provision of the Franchise Agreement, satisfy all monetary obligations, execute our then-current form of franchise agreement (with materially different terms and conditions than your original Franchise Agreement), comply with then-current qualifications and training requirements, including completion of additional training, pay us a Renewal Fee, execute a general release. |
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 40–46)
What This Means (2024 FDD)
According to Kidokinetics's 2024 Franchise Disclosure Document, to renew the franchise agreement for an additional term of 10 years, a franchisee must comply with the 'then-current qualifications and training requirements, including completion of additional training.'
However, the FDD does not specify how Kidokinetics determines these 'then-current training requirements.' The document does not detail the criteria, standards, or process Kidokinetics uses to establish or modify these requirements for renewal.
A prospective Kidokinetics franchisee should seek clarification from the franchisor regarding how these training requirements are defined, how they might change over time, and what specific additional training may be required at the time of renewal. Understanding the scope and nature of these requirements is essential for long-term planning and budgeting.