Under what conditions might the Kidokinetics franchisor vary performance standards for a 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, the franchisor reserves the right to vary performance standards for individual franchisees under specific conditions. Kidokinetics may adjust these standards based on the unique characteristics of a franchisee's location, specific circumstances, business potential, existing business practices, or any other condition that the franchisor deems important for the successful operation of that particular franchise.
This flexibility allows Kidokinetics to adapt its requirements to suit different market conditions or franchisee situations. However, the FDD explicitly states that Kidokinetics has full rights to vary standard specifications and practices for any franchisee at any time without giving other franchisees comparable rights. This means that a franchisee cannot demand the same variations granted to another.
This clause in the franchise agreement gives Kidokinetics significant discretion in managing its franchise network. While it could be beneficial in allowing for tailored support and adaptation to local conditions, it also carries the risk of perceived unfairness or inconsistency among franchisees, as the franchisor is not obligated to offer similar variations to all franchisees.