Is a Kidokinetics franchisee entitled to require the franchisor to grant them a variation in standards similar to another franchisee?
Kidokinetics Franchise · 2024 FDDAnswer from 2024 FDD Document
- 11.6. Variations in Standards.
Notwithstanding anything to the contrary contained in this Agreement, and this Section in particular, Franchisee acknowledges and agrees that, because complete and detailed uniformity under many varying conditions may not be possible or practical, Franchisor specifically reserves the right and privilege, at its sole discretion and as it may be deemed in the best interests of all concerned in any specific instance, to vary performance standards for some franchisees based upon the peculiarities and characteristics of the particular site or circumstance, business potential, existing business practices or any other condition which Franchisor deems to be of importance to the successful operation of such particular franchise business.
Franchisor has full rights to vary standard specifications and practices for any other franchisee at any time without giving Franchisee comparable rights.
Franchisee will not be entitled to require Franchisor to disclose or grant to Franchisee a like or similar variation.
Source: Item 22 — CONTRACTS (FDD page 59)
What This Means (2024 FDD)
According to Kidokinetics's 2024 Franchise Disclosure Document, franchisees are not entitled to demand that Kidokinetics grant them the same variations in performance standards that may be offered to other franchisees. Kidokinetics retains the sole discretion to vary these standards based on specific factors.
Kidokinetics reserves the right to modify performance standards for individual franchisees, considering factors such as the site's unique characteristics, business potential, existing practices, or any other condition deemed important for the franchise's success. This flexibility allows Kidokinetics to adapt to diverse operating environments and market conditions, potentially benefiting both the franchisor and individual franchisees.
However, the agreement explicitly states that a franchisee is not entitled to require Kidokinetics to disclose or grant a similar variation. This means that even if one franchisee receives a special allowance or modification to the standard operating procedures, other franchisees cannot automatically claim the same right. This clause protects Kidokinetics's ability to make individualized decisions without setting a precedent for across-the-board changes.
This aspect of the franchise agreement highlights the importance of understanding the scope of flexibility and standardization within the Kidokinetics system. While the franchisor can adapt to specific situations, franchisees should not expect to automatically receive the same treatment as others. Prospective franchisees should inquire about the typical circumstances under which variations are granted and how these decisions are made to fully understand their obligations and opportunities within the Kidokinetics franchise system.