What form of agreement must a Learningrx franchisee execute for a renewal term?
Learningrx Franchise · 2025 FDDAnswer from 2025 FDD Document
- 3.4 Renewal Franchise Agreement.
Franchisee must execute Franchisor's then-current form of franchise agreement and ("Renewal Franchise Agreement") all other legal agreements for new franchisees.
The Renewal Franchise Agreement may vary in material aspects from this Agreement, including, but not limited to, higher royalty and advertising fees.
The Renewal Franchise Agreement shall contain a right to renew the Renewal Franchise Agreement for at least one (1) successive ten (10) year period.
Source: Item 23 — RECEIPT (FDD pages 54–209)
What This Means (2025 FDD)
According to Learningrx's 2025 Franchise Disclosure Document, a franchisee who is granted a renewal term must execute Learningrx's then-current form of franchise agreement, referred to as the "Renewal Franchise Agreement," along with all other legal agreements required for new franchisees. This agreement covers a successive period of ten years.
It is important to note that the Renewal Franchise Agreement may differ significantly from the original agreement. These differences can include, but are not limited to, adjustments in royalty and advertising fees. This means that franchisees should be prepared for potential increases in these costs when considering a renewal.
Despite potential changes in fees, the Renewal Franchise Agreement will include a right to renew for at least one additional ten-year period, providing franchisees with the opportunity for long-term continuation of their Learningrx franchise under the updated terms and conditions.