If a replacement person is designated for Kidokinetics training, what qualifications must they meet?
Kidokinetics Franchise · 2024 FDDAnswer from 2024 FDD Document
- 10.3.1.
If the Manager is not able to continue to serve in such capacity, or no longer qualifies to act as such in accordance with this Agreement, Franchisee will promptly notify Franchisor and request approval for a replacement within 30 days after the Manager ceases to serve, such replacement being subject to the same qualifications required by this Agreement (including, but not limited to, completing all training and obtaining all certifications required by Franchisor).
Franchisor will approve or disapprove of the replacement Manager within 30 days.
Until such replacement is designated, Franchisee will provide for interim management of the Kidokinetics Business, who will act in accordance with the terms of this Agreement.
Any failure to comply with the requirements of this Section is deemed an event of default under this Agreement.
- 10.3.2.
Franchisor, in Franchisor's sole discretion, may provide interim management support and charge Franchisee an interim management support fee ("Interim Management Fee") until such Manager is properly trained or certified in accordance with Franchisor's requirements.
The Interim Management Fee will be in the amount of 10% percent of Gross Sales earned during the interim management period plus the subsequent three weeks, payable in addition to all regularly occurring fees including Royalty and Brand Development Fund Contributions, plus any and all costs of travel, lodging, meals and other expenses reasonably incurred by Franchisor, and be withdrawn from Franchisee's designated bank account.
Source: Item 22 — CONTRACTS (FDD page 59)
What This Means (2024 FDD)
According to Kidokinetics' 2024 Franchise Disclosure Document, if the manager is unable to continue in their role or no longer qualifies, the franchisee must notify Kidokinetics and request approval for a replacement within 30 days. This replacement is subject to the same qualifications required by the agreement, including completing all training and obtaining all certifications required by Kidokinetics. Kidokinetics has 30 days to approve or disapprove the replacement manager.
During the interim period until a replacement is designated, the franchisee must provide interim management for the Kidokinetics business, acting in accordance with the terms of the agreement. Failure to comply with these requirements is considered a default under the agreement.
Kidokinetics may, at its discretion, provide interim management support and charge the franchisee an interim management support fee until a manager is properly trained or certified. This fee is 10% of gross sales earned during the interim management period plus the subsequent three weeks, in addition to all regular fees, including royalty and brand development fund contributions, plus any costs incurred by Kidokinetics for travel, lodging, meals, and other expenses. These fees will be withdrawn from the franchisee's designated bank account.