factual

What is the sole remedy for the Learningrx Franchisee or Spousal Affiliate if injunctive relief is entered?

Learningrx Franchise · 2025 FDD

Answer from 2025 FDD Document

ance of Spousal Affiliates' duties and obligations as an owner, spouse, employee or contractor of Franchisee and that the execution of this Agreement will not be deemed to create an employment relationship between Franchisor and Spousal Affiliates and Franchisor. Spousal Affiliates hereby waive, to the greatest extent permitted by federal law and the law of the state or states in which Spousal Affiliates reside and are employed by Franchisee, any claim that Spousal Affiliates may have to be deemed to be an employee of Franchisor by virtue of signing this Agreement.

    1. Franchisee and Spousal 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

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Source: Item 23 — RECEIPT (FDD pages 54–209)

What This Means (2025 FDD)

According to Learningrx's 2025 Franchise Disclosure Document, both the franchisee and their spousal affiliate acknowledge that a breach of the agreement would cause irreparable harm to Learningrx, leaving them without an adequate legal remedy. Consequently, Learningrx is entitled to enforce the agreement through injunctive relief, including temporary or permanent injunctions, or decrees for specific performance, without needing to demonstrate actual harm or provide a bond.

In the event that such injunctive relief is granted, the sole remedy available to the Learningrx franchisee or their spousal affiliate is the dissolution of the injunction, if deemed warranted after a hearing. This means that if a court issues an injunction against the franchisee or spousal affiliate, their only recourse is to attempt to have the injunction lifted or dissolved through a legal hearing.

Furthermore, the franchisee and spousal affiliate expressly waive any claims for damages resulting from the wrongful issuance of an injunction. This waiver prevents them from seeking financial compensation if they believe the injunction was wrongly issued. This clause highlights the importance of carefully considering the terms of the franchise agreement and understanding the potential limitations on legal remedies.

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.