What are the franchisee's obligations regarding pre-opening purchases/leases for Learningrx (Item 9) and how do these relate to the franchisor's advertising and marketing support (Item 11)?
Learningrx Franchise · 2025 FDDAnswer from 2025 FDD Document
[Item 9: FRANCHISEE'S OBLIGATIONS]
| Obligation | Section in Franchise Agreement | Item in Disclosure Document |
|---|---|---|
| a. Site selection and acquisition/lease if any | Sections 8.02 & 10.2 | 11 |
| b. Pre-opening purchases/leases | Sections 10.02 & 12.6 | 11 |
| c. Site development and other pre-opening | Sections 10 & 12 | 11 |
| requirements | ||
| d. Initial and ongoing training | Sections 8.04 & 8.05 | 11 |
| e. Opening | Section 12.05 | 11 |
| f. Fees | Section 5 | 5, 6, 7 |
| g. Compliance with standards and | Section 7.04, 12.02, 1203 | 11 |
| policies/Operations Manual | ||
| h. Trademarks and proprietary information | Section 6 & 7 | 13, 14 |
| i. Restrictions on Products and services offered | Sections 8.03, 12.06 | 8, 16 |
| j. Warranty and customer service requirements | None | Not applicable. |
| k. Territorial development and sales quotas | Section 4 and Attachment I | 11, 12 |
| l. Ongoing Product and service purchases | Section 12 | 8, 16 |
| m. Maintenance, appearance & remodeling | Sections 10.01, 10.04 12.02, | Not applicable. |
| requirements | 12.03 | |
| n. Insurance | Section 12.08 | 8 |
| o. Advertising | Section 9 | 11 |
| p. Indemnification | Section 12.14 | Not applicable. |
[Item 11: FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEM, AND TRAINING]
ITEM 11 FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEM, AND TRAINING
Except as listed below, LearningRx is not required to provide you with any assistance.
Pre-Opening Obligations
Before you begin your Business, we will:
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- Designate your Territory in writing and approve, if it meets our standards and specifications for approval, the physical location selected solely by you to be used for the operation of the Center. (See Sections 4 and 10 of the Franchise Agreement).
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- Provide digital access to our confidential Operations Manual, which contains specifications, standards, operating procedures and rules that must be followed. The Operations Manual is confidential and remains our property. We may modify the Operations Manual from time to time, but the modification will not alter your status and rights under the Franchise Agreement. We have included a copy of the Table of Contents of our Operations Manual as Exhibit F to this Franchise Disclosure Document. Given that the Operations Manual is completely electronic, it does not contain a set number of pages, however if it were to be printed, we estimate the total number of pages to be approximately 700. (See Section 7.04 of the Franchise Agreement).
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- Provide limited advice about selecting and analyzing a site for the Center. Your site for a Micro Center must be at least 800 square feet and your site for a Standard Center must be at least 1,000 square feet, unless otherwise approved by us in writing prior to lease execution, and be located inside of your Territory. You must maintain a physical location for your Center at all times. Site selection is your responsibility, but we will assist you in the location selection process by considering population density,
9.8 Advertising and Marketing Materials. Franchisor will provide Franchisee with reasonable amounts of advertising and marketing materials that may include, but are not limited to, video and audiotapes, multimedia, print-ready advertising materials, posters, banners, and other items. Franchisee must purchase any additional copies of advertising and marketing materials. Franchisee may develop and produce additional advertising and marketing materials, at Franchisee's own expense, but any advertising and marketing materials must be approved in writing by Franchisor in advance of Franchisee's use of such materials. Franchisor will approve or disapprove of materials submitted by Franchisee within fifteen (15) days of receipt. If Franchisee receives no response within fifteen (15) days, the materials are deemed disapproved. Franchisor also reserves the option of utilizing the advertising, without cost, developed by Franchisee and providing the advertising to other franchisees.
What This Means (2025 FDD)
According to the 2025 Learningrx Franchise Disclosure Document, Item 9 outlines the franchisee's obligations, including pre-opening purchases/leases, and how these relate to other sections of the agreement, including advertising as described in Item 11. Specifically, the table in Item 9 indicates that pre-opening purchases/leases are detailed in Sections 10.02 & 12.6 of the Franchise Agreement and are further discussed in Item 11 of the Disclosure Document. Similarly, the franchisee's advertising obligations are covered in Section 9 of the Franchise Agreement and also relate to Item 11 of the Disclosure Document.
Item 11 details Learningrx's assistance, advertising, computer systems, and training provided to the franchisee. While Learningrx is not required to provide assistance except as listed, it does offer certain pre-opening support. This includes designating the territory in writing and approving the physical location selected by the franchisee, provided it meets Learningrx's standards. Learningrx also provides digital access to its confidential Operations Manual, which contains specifications, standards, operating procedures, and rules. Additionally, Learningrx offers limited advice about selecting and analyzing a site for the Center, with specific square footage requirements for Micro Centers (at least 800 square feet) and Standard Centers (at least 1,000 square feet).
Regarding advertising and marketing, Learningrx will provide franchisees with reasonable amounts of advertising and marketing materials, including video and audiotapes, multimedia, print-ready advertising materials, posters, and banners. Franchisees can purchase additional copies of these materials. Franchisees also have the option to develop their own advertising and marketing materials, but these must be approved in writing by Learningrx in advance. Learningrx has fifteen days to approve or disapprove the franchisee's submitted materials; if no response is received within this timeframe, the materials are deemed disapproved. Learningrx also reserves the right to use advertising developed by the franchisee and provide it to other franchisees without cost.