Upon termination of the Kitchen Solvers agreement, what must the franchisee immediately pay?
Kitchen_Solvers Franchise · 2025 FDDAnswer from 2025 FDD Document
re rights or minimum periods of notice for termination of this franchise will supersede any provision of this Agreement that is less favorable to you than such law or regulation.
12. POST-TERM OBLIGATIONS
Upon the expiration or termination of this Agreement:
A. Reversion of Rights; Discontinuation of Trademark Use. All of your rights to the use of the Trademarks and all other rights and licenses granted herein and the right and license to conduct your Business under the Trademarks in your Territory will revert to us without further act or deed of any party. All of your right, title and interest in, to and under this Agreement will become our property. You must immediately pay all sums due to us, our affiliates or designees. You must immediately cease all use and display of the Trademarks and of any material copyrighted by us (including without limitation the Manuals and other Confidential Information). You must immediately return to us all copies of the Manuals, any training videos and licensed software.
Source: Item 22 — Contracts (FDD page 49)
What This Means (2025 FDD)
According to Kitchen Solvers' 2025 Franchise Disclosure Document, upon termination or expiration of the franchise agreement, a franchisee must immediately pay all sums due to Kitchen Solvers, its affiliates, or designees. This includes any outstanding fees, royalties, or other financial obligations that have not yet been settled.
In addition to settling outstanding financial obligations, the franchisee must also cease all use of Kitchen Solvers' trademarks and copyrighted materials. This means that the franchisee can no longer operate under the Kitchen Solvers brand or utilize any of its proprietary resources, such as manuals, training videos, and licensed software. All such materials must be returned to Kitchen Solvers immediately.
Furthermore, Kitchen Solvers retains the option to require the franchisee to assign all existing customer contracts to them. If Kitchen Solvers exercises this option, the franchisee must also pay Kitchen Solvers any amounts (or a pro rata portion of any amounts) that customers have already paid for services not yet performed. For example, if a customer prepaid for services and the franchisee has only completed 50% of the work, Kitchen Solvers may require the franchisee to remit 50% of the customer's payment to them.