Upon termination of the Pearce Bespoke Franchise Agreement, what must the franchisee do with the equipment, manuals, and advertising materials?
Pearce_Bespoke Franchise · 2025 FDDAnswer from 2025 FDD Document
If this Agreement is terminated for any reason, Franchisee will: (1) within five (5) days after termination, pay all amounts due and owing to Franchisor or suppliers under this Agreement; (2) return by first class prepaid United States mail or at Franchisor's sole discretion, destroy and confirm destruction thereof to Franchisor the all equipment, Manuals any other manuals, advertising materials, all other printed materials or assets relating to the operation of the franchised business; (3) assign to Franchisor or, at Franchisor's discretion, disconnect the telephone number for the Pearce Bespoke Franchise; and (4) remove all signs and other materials bearing the name "Pearce Bespoke" and other Marks; (5) disconnect any internet website Franchisee has established in connection with Franchisee's operation of the Pearce Bespoke Franchise; and (6) comply with all other applicable provisions of this Agreement, including the non-compete provisions. Upon termination of this Franchise Agreement for any reason, Franchisee's right to use the name "Pearce Bespoke" and the other Marks and the Business System will immediately terminate. If Franchisee fails to remove all signs and other materials bearing the Marks, Franchisor may do so at Franchisee's expense.
Source: Item 22 — CONTRACTS (FDD page 39)
What This Means (2025 FDD)
According to Pearce Bespoke's 2025 Franchise Disclosure Document, if the Franchise Agreement is terminated for any reason, the franchisee has specific obligations regarding equipment, manuals, and advertising materials. Within five days of termination, the franchisee must pay all outstanding amounts owed to Pearce Bespoke or its suppliers.
Additionally, the franchisee is required to return all equipment, manuals, advertising materials, and other printed materials related to the franchised business. Pearce Bespoke has the option to instead instruct the franchisee to destroy these materials and confirm their destruction. The franchisee must comply with whichever option Pearce Bespoke chooses.
Furthermore, the franchisee must remove all signs and materials bearing the Pearce Bespoke name and other trademarks. If the franchisee fails to do so, Pearce Bespoke reserves the right to remove them at the franchisee's expense. The franchisee must also disconnect any internet website established for the Pearce Bespoke franchise. These post-termination duties are standard in franchising to protect the brand's integrity and ensure a clean break between the franchisee and the franchisor.