Is the Kidokinetics Franchisee responsible for obtaining all permits, certificates, or licenses necessary for the business?
Kidokinetics Franchise · 2024 FDDAnswer from 2024 FDD Document
- 10.4. Legal Compliance.
Franchisee shall comply with all federal, state and local laws, rules, regulations and ordinances and timely obtain any and all permits, certificates or licenses necessary for the full and proper conduct of the Kidokinetics Business.
Such laws, rules and regulations will include, without limitation, licenses to do business, fictitious name registrations, sales and other tax permits, any permits, certificates
Source: Item 22 — CONTRACTS (FDD page 59)
What This Means (2024 FDD)
According to Kidokinetics's 2024 Franchise Disclosure Document, the franchisee is responsible for obtaining all necessary permits, certificates, and licenses for operating the business. Specifically, the franchisee must comply with all federal, state, and local laws, rules, regulations, and ordinances to ensure the Kidokinetics business is conducted properly and legally. This includes obtaining licenses to do business, fictitious name registrations, sales and other tax permits, and any other required permits or certificates.
This requirement places the onus on the franchisee to understand and adhere to all legal and regulatory requirements at the federal, state, and local levels. Failing to obtain the necessary permits and licenses can result in legal penalties, fines, or even the closure of the business. It is crucial for prospective franchisees to conduct thorough research and consult with legal and business professionals to ensure full compliance.
Furthermore, in the event of a transfer of the franchise, the transferee must also obtain and maintain all permits and licenses required for the operation of the Kidokinetics Business. This ensures that the business remains compliant under new ownership. The franchisee's obligation to comply with laws and regulations is a continuing one, and any failure to do so constitutes an event of default under the Franchise Agreement.
Kidokinetics also requires the franchisee to maintain an electronic mail account with an Internet service provider acceptable to Kidokinetics, read all electronic mail related to the Kidokinetics Business on a daily basis, and accept and acknowledge receipt of all electronic mail sent by Kidokinetics. This highlights the importance of communication and adherence to Kidokinetics's operational standards and legal requirements.