factual

Can Learningrx deny a relocation request for any reason?

Learningrx Franchise · 2025 FDD

Answer from 2025 FDD Document

adjusted without our prior written consent regardless of whether the population of your Territory increases or decreases over time.

If you request to relocate your Center, this will be subject to our approval, which we have the right to grant or deny for any reason or no reason. Any relocation will be subject to the site selection and lease provisions contained in the Franchise Agreement and Operations Manual. You will not be required to pay us a relocation fee ("Relocation Fee") for the first request to relocate your Center within the Initial Term of the Franchise Agreement or any Successor Term. You will be required to pay us a Relocation Fee of $250 if you request to relocate your Center a second time within the Initial Term of the Franchise Agreement or any Successor Term. You will be required to pay us a Relocation Fee of $500 if you request to relocate your Center a third time within the Initial Term of the Franchise Agreement or any Successor Term. Any relocation of your Center will be at your sole expense. Our approval will, among other things, be based on the following factors: population density, income levels, genera

Source: Item 12 — TERRITORY (FDD pages 33–35)

What This Means (2025 FDD)

According to Learningrx's 2025 Franchise Disclosure Document, Learningrx has the right to deny a franchisee's request to relocate their center for any reason. The FDD states that any relocation is subject to Learningrx's approval, which they can grant or deny with or without cause. This condition is part of the site selection and lease provisions outlined in the Franchise Agreement and Operations Manual.

While Learningrx does not charge a relocation fee for the first relocation request during the initial or any subsequent term of the Franchise Agreement, subsequent relocation requests incur fees. A second relocation request costs $250, and a third request costs $500. The franchisee bears the entire expense of relocating the center. Learningrx's approval depends on factors such as population density, income levels, general location guidelines, proximity to other Learningrx centers, and the time required for relocation.

This policy gives Learningrx broad discretion over relocation decisions, which is a significant consideration for prospective franchisees. While factors like population density and proximity to other centers are typical considerations, the right to deny a relocation "for any reason or no reason" provides Learningrx with considerable latitude. Franchisees need to carefully evaluate potential locations and consider the long-term implications of this policy, as relocation might be necessary due to unforeseen circumstances.

Prospective franchisees should discuss with Learningrx the specific criteria and processes used to evaluate relocation requests, despite the broad discretionary power retained by the franchisor. Understanding Learningrx's past practices and the factors that typically influence their decisions can help franchisees better assess the risks and potential challenges associated with relocating their Learningrx center.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.