factual

What is the condition for Pearce Bespoke or its franchisor to apply for injunctive relief?

Pearce_Bespoke Franchise · 2025 FDD

Answer from 2025 FDD Document

You agree that failure to comply with the terms of this Agreement will cause irreparable harm to us and to our franchisor, Pearce Bespoke Franchising, LLC, and other Pearce Bespoke franchisees for which there is no adequate remedy at law.

Therefore, you agree that any violation of these covenants will entitle us or our franchisor, Pearce Bespoke Franchising, LLC, to injunctive relief.

You agree that we and/or our franchisor, Pearce Bespoke Franchising, LLC, may apply for such injunctive relief, without bond, but upon due notice, in addition to such further and other relief as may be available at equity or law, and the sole remedy of yours, in the event of the entry of such injunction, will be the dissolution of such injunction, if warranted, upon hearing duly held (all claims for damages by reason of the wrongful issuance of any such injunction being expressly waived hereby).

Source: Item 23 — RECEIPTS (FDD pages 39–172)

What This Means (2025 FDD)

According to the 2025 FDD, Pearce Bespoke and its franchisor, Pearce Bespoke Franchising, LLC, can seek injunctive relief if a franchisee fails to comply with the terms of the agreement. The FDD states that such non-compliance will cause irreparable harm for which there is no adequate remedy at law. Injunctive relief is a court order that requires a party to do or cease doing a specific action.

For a Pearce Bespoke franchisee, this means that any violation of the franchise agreement's covenants could lead to Pearce Bespoke Franchising, LLC seeking a court order to compel compliance. The franchisee agrees that Pearce Bespoke or its franchisor may apply for injunctive relief without needing to post a bond, provided they give due notice.

The franchisee's sole remedy, if an injunction is issued, is to seek the dissolution of the injunction if warranted after a hearing. The franchisee expressly waives any claims for damages resulting from the wrongful issuance of such an injunction. This is a significant point for prospective franchisees, as it limits their recourse in the event of an injunction, even if it is later deemed to have been wrongly issued.

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.