Under what circumstances can the Kidokinetics franchise agreement be terminated if the franchisee fails to maintain necessary licenses, certifications, or permits?
Kidokinetics Franchise · 2024 FDDAnswer from 2024 FDD Document
- 16.4.6.
Franchisee fails to procure or maintain any licenses, certifications, or permits necessary for the operation of Franchisee's Kidokinetics Business.
- 16.5. Upon 30 Days' Notice to Cure.
Franchisee shall be deemed to be in default and Franchisor has the right to terminate this Agreement if Franchisee fails to perform or comply with any one or more of the terms or conditions of this Agreement or any ancillary agreements between Franchisee and Franchisor or Franchisor's affiliates and fails to cure such default after notice and expiration of the thirty (30)-day cure period.
Source: Item 22 — CONTRACTS (FDD page 59)
What This Means (2024 FDD)
According to Kidokinetics's 2024 Franchise Disclosure Document, the franchise agreement can be terminated if the franchisee fails to procure or maintain any licenses, certifications, or permits necessary for the operation of the Kidokinetics business.
Specifically, if a Kidokinetics franchisee fails to maintain the required licenses, certifications, or permits, the franchisor will provide a 15-day notice to cure the deficiency. If the franchisee does not rectify the situation within this 15-day period, Kidokinetics has the option to terminate the franchise agreement.
This stipulation underscores the importance of franchisees adhering to all legal and regulatory requirements for operating their Kidokinetics business. Failing to maintain necessary licenses and permits can lead to the termination of the franchise agreement, resulting in the loss of the business and associated investment.