How may Marble Slab Creamery collect fines from the franchisee?
Marble_Slab_Creamery Franchise · 2025 FDDAnswer from 2025 FDD Document
SLAB CREAMERY" or any other service mark or trademark of Franchisor, and Franchisee will furnish Franchisor with evidence satisfactory to Franchisor of compliance with this obligation within 30 days after termination or expiration of this Agreement.
- 14.4 Franchisee will, at Franchisor's option, assign to Franchisor any interest which Franchisee has in any lease or sublease for the premises of the Restaurant. In the event Franchisor does not elect to exercise its option to acquire the lease or sublease for the premises of the Restaurant, Franchisee will make such modifications or alterations to the premises operated hereunder immediately upon termination or expiration of this Agreement as may be necessary to distinguish the appearance of said premises from that of other Marble Slab Creamery restaurants, and will make such specific additional changes thereto as Franchisor may reasonably request for that purpose. In the event Franchisee fails or refuses to comply with the requirements of this Section 14.4, Franchisor will have the right to enter upon the premises where the Restaurant was conducted, without being guilty of trespass or any other tort, for the purpose of making or causing to be made such changes as may be required, at the expense of Franchisee, which expense Franchisee agrees to pay upon demand.
Source: Item 22 — CONTRACTS (FDD page 101)
What This Means (2025 FDD)
According to Marble Slab Creamery's 2025 Franchise Disclosure Document, there are several instances where the franchisee may be required to pay sums to the franchisor. Specifically, if a franchisee fails to make necessary modifications or alterations to the premises after termination or expiration of the franchise agreement to distinguish it from other Marble Slab Creamery restaurants, the franchisor has the right to enter the premises and make those changes at the franchisee's expense. The franchisee agrees to pay these expenses upon demand.
Additionally, if the franchise agreement is terminated due to the franchisee's default, the franchisee is responsible for paying all damages, costs, and expenses, including reasonable attorneys' fees, incurred by Marble Slab Creamery as a result of the default. This means that any financial losses or legal costs that Marble Slab Creamery incurs because the franchisee breached the agreement will be passed on to the franchisee.
Furthermore, even after the termination or expiration of the franchise agreement, the franchisee may still be liable for costs. If Marble Slab Creamery has to seek injunctive or other relief to enforce any provisions related to the termination of the agreement, the franchisee will be required to pay all damages, costs, and expenses, including reasonable attorneys' fees, that Marble Slab Creamery incurs in obtaining that relief. This could include legal action to prevent the franchisee from continuing to use Marble Slab Creamery's trademarks or operating in a manner that violates the terms of the terminated agreement.