If a Learningrx franchisee exercises its right to a Successor Term, what fee must be paid?
Learningrx Franchise · 2025 FDDAnswer from 2025 FDD Document
If Franchisee exercises its right to a Successor Term, it must pay Franchisor an additional Satellite Location Fee before the first day of that Successor Term.
Franchisee will not be required to pay Franchisor a relocation fee ("Relocation Fee") for the first request to relocate its Center within the Initial Term of the Franchise Agreement or any Successor Term.
Franchisee will be required to pay Franchisor a Relocation Fee of Two-hundred and fifty and 00/100 Dollars ($250.00) if Franchisee requests to relocate its Center a second time within the Initial Term of the Franchise Agreement or any Successor Term.
Franchisee will be required to pay Franchisor a Relocation Fee of Five hundred and 00/100 Dollars ($500.00) if Franchisee requests to relocate its Center a third time within the
At the end of the term of this Agreement, Franchisee may request a renewal term ("Renewal Term") for one (1) successive period of ten (10) years, provided Franchisor does not exercise its rights of refusal as set forth in Section 3.3 below.
The Renewal Franchise Agreement may vary in material aspects from this Agreement, including, but not limited to, higher royalty and advertising fees.
Source: Item 23 — RECEIPT (FDD pages 54–209)
What This Means (2025 FDD)
According to Learningrx's 2025 Franchise Disclosure Document, if a franchisee exercises the right to a Successor Term for a satellite location, they must pay Learningrx an additional Satellite Location Fee before the first day of that Successor Term. The document also mentions relocation fees under certain circumstances.
The Learningrx FDD states that a franchisee will not be required to pay a relocation fee for the first request to relocate its center within the initial term of the Franchise Agreement or any Successor Term. However, a franchisee will be required to pay Learningrx a Relocation Fee of $250 if the franchisee requests to relocate its center a second time within the Initial Term of the Franchise Agreement or any Successor Term. The relocation fee increases to $500 if a franchisee requests to relocate its center a third time within the Initial Term of the Franchise Agreement or any Successor Term.
It is important to note that the Successor Term for the satellite location is for additional 365-day periods. The standard franchise agreement has a Renewal Term for one successive period of ten years. The Renewal Franchise Agreement may vary in material aspects from the original agreement, including, but not limited to, higher royalty and advertising fees.