Can Learningrx charge a fine if a franchisee does not attend a mandatory conference?
Learningrx Franchise · 2025 FDDAnswer from 2025 FDD Document
After satisfactorily completing this initial training, there is no mandatory training required, however, you will be required to have center person per Center attend periodic or national conferences and we have the right to charge you a fine for not attending (See ITEM 6).
We may hold periodic regional or national conferences to discuss on-going changes in the industry, operational techniques, Product and service developments, training, bookkeeping, accounting, student studies, performance standards, advertising programs and new service procedures.
You are required to have at least one person per Center you operate attend the mandatory portion of any regional or national conferences (attendance at optional pre-training prior to any such conferences is not required).
For example, if you operate two Centers, two people are required to attend.
When we hold mandatory conferences, you will be required to pay a conference fee per person, and, in addition, you must pay all of the travel and living expenses for you and any other attendees who attend on your behalf.
These conferences will be held at our corporate headquarters or at another location chosen by us.
We may provide other conferences from time to time, and you may be required to pay a conference fee for these additional conferences based upon the direct costs to us of retaining speakers and other direct expenses associated with the conference. (See Section 8.05 of the Franchise Agreement).
We may charge a fine if you do not attend a mandatory conference.
We will provide sales training which will be mandatory for Centers that are below 40% on the consultation closure rates.
Centers that are required to participate in sales training must do so until their consultation closure rate is at least 40%, or for a minimum of three months, and participate in no less than four training sessions, and must pay us at a rate of $75 per 60-minute session.
Sales training will also be provided to Directors operating within the 1st year of the franchise agreement at no additional cost.
Directors who are new due to the transfer of a Center must participate in sales training for a minimum of four 60-minute sessions over a minimum of months, until that new director's assessment to student rate reaches at least 40%. (See Section 8.05 of the Franchise Agreement).
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEM, AND TRAINING (FDD pages 26–33)
What This Means (2025 FDD)
According to the 2025 Learningrx Franchise Disclosure Document, Learningrx has the right to charge a fine if a franchisee does not attend a mandatory conference. The FDD states that at least one person per Learningrx center must attend the mandatory portion of any regional or national conferences. Attendance at optional pre-training prior to these conferences is not required. If a franchisee operates multiple centers, they must send one person per center to the mandatory conferences. Franchisees are responsible for paying a conference fee per person attending, as well as covering all travel and living expenses for themselves and any other attendees. These conferences may be held at Learningrx's corporate headquarters or another location chosen by Learningrx.
In addition to mandatory conferences, Learningrx may offer other conferences, for which franchisees may be required to pay a conference fee based on the direct costs to Learningrx of retaining speakers and other direct expenses associated with the conference.
Learningrx also provides sales training, which is mandatory for centers that are below 40% on the consultation closure rates. Centers required to participate in sales training must do so until their consultation closure rate is at least 40%, or for a minimum of three months, participating in no less than four training sessions, and must pay Learningrx at a rate of $75 per 60-minute session. Sales training is also provided to Directors operating within the 1st year of the franchise agreement at no additional cost. Directors who are new due to the transfer of a Center must participate in sales training for a minimum of four 60-minute sessions over a minimum of months, until that new director's assessment to student rate reaches at least 40%.