What remedy is Learningrx entitled to in the event of a breach or threatened breach of the agreement?
Learningrx Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee and Franchisee Affiliate agree that in the event of a breach of this Agreement, Franchisor would be irreparably injured and be without an adequate remedy at law.
Therefore, in the event of such a breach, or threatened or attempted breach of any of the provisions hereof, Franchisor shall be entitled to enforce the provisions of this Agreement and shall be entitled, in addition to any other remedies that are made available to it at law or in equity, including the right to terminate the Franchise Agreement, to a temporary and/or permanent injunction and/or a decree for the specific performance of the terms of this Agreement, without the necessity of showing actual or threatened harm and without being required to furnish a bond or other security. Franchisee and Franchisee Affiliate agree that Franchisee's and/or Franchisee Affiliate's sole remedy in the event of the entry of such injunctive relief shall be dissolution of such injunctive relief, if warranted, upon hearing duly had; provided, however, that all claims for damages by reason of the wrongful issuance of any such injunction are hereby expressly waived by Franchisee and by Franchisee Affiliate.
Source: Item 23 — RECEIPT (FDD pages 54–209)
What This Means (2025 FDD)
According to the 2025 Learningrx Franchise Disclosure Document, Learningrx outlines specific remedies available to them in the event of a breach or threatened breach of the franchise agreement by the franchisee. Learningrx states that any breach of the agreement would cause irreparable injury for which there would be no adequate legal remedy.
Therefore, Learningrx is entitled to enforce the provisions of the agreement. In addition to any other legal or equitable remedies, including termination of the franchise agreement, Learningrx can seek a temporary or permanent injunction or a decree for specific performance of the agreement's terms. This can be done without needing to demonstrate actual or threatened harm and without having to post a bond or security. The franchisee's sole remedy, should an injunction be issued, is to seek dissolution of the injunction if warranted after a hearing. The franchisee also waives any claims for damages resulting from the wrongful issuance of an injunction.
This clause is significant for prospective Learningrx franchisees as it highlights the legal protections Learningrx has put in place. It also limits the franchisee's ability to seek damages from Learningrx in the event of an injunction, even if the injunction is later deemed wrongful. Franchise agreements commonly include clauses that protect the franchisor's interests and brand, and this is a typical example of such a provision.