factual

Where is the definition of 'Advertising Cooperative' found within the Mrcool Franchise Agreement?

Mrcool Franchise · 2025 FDD

Answer from 2025 FDD Document

  • "Advertising Cooperative" shall have the meaning defined and set forth in Article 9.F. of this Agreement.

Source: Item 23 — RECEIPTS (FDD pages 55–263)

What This Means (2025 FDD)

According to Mrcool's 2025 Franchise Disclosure Document, the definition of "Advertising Cooperative" is located in Article 9.F of the Franchise Agreement. The document further clarifies that Mrcool maintains the right to authorize, establish, designate, and de-authorize local or regional advertising cooperatives within designated markets.

If a franchisee's center or designated territory falls within the geographic area of an Advertising Cooperative, participation and contribution to the cooperative are mandatory. Mrcool retains the exclusive right to designate any geographic area with two or more Center franchises as a region for establishing an Advertising Cooperative.

This means that as a Mrcool franchisee, you may be required to participate in and contribute to an advertising cooperative if your location is within a designated area. The franchisor has the sole discretion to establish these cooperatives, so it's important to understand the potential costs and obligations associated with them. Prospective franchisees should inquire about the criteria used to establish advertising cooperatives and the potential impact on their marketing strategies and budgets.

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.