Does the Punch King Fitness franchise agreement explicitly define 'Covenantor'?
Punch_King_Fitness Franchise · 2024 FDDAnswer from 2024 FDD Document
y has been delivered in the State of California and shall be construed and enforced in accordance with the laws thereof. Jurisdiction and venue in any action to enforce this Guaranty shall be in any state or federal court within the State of California in the judicial district where Franchisor has its principal place of business. Guarantors consent to the exercise of personal jurisdiction by any such court and waive any defense of lack of personal jurisdiction or improper venue.
| , Individually | GUARANTOR: | |----------------|------------| | , Individually | | | FRANCHISEE: | Signature Name: Title: | | Date: | |
RESTRICTIVE COVENANT AGREEMENT
TO THE PUNCH KING FITNESS FRANCHISE DISCLOSURE DOCUMENT
RESTRICTIVE COVENANT AGREEMENT
| THIS AGREEMENT, by and between, (Franchisee), | |
|---|---|
| a [corporation] [partnership] [limited liability company] organized under the laws of the State of | |
| , and (Covenantor), an individual | |
| resident of the State of, | |
| WITNESSETH: | |
| WHEREAS, pursuant to that certain Franchise Agreement dated (the Franchise | |
| Agreement), Punch King Fitness, Inc. |
Source: Item 22 — CONTRACTS (FDD pages 56–215)
What This Means (2024 FDD)
According to the 2024 Punch King Fitness Franchise Disclosure Document, the franchise agreement explicitly defines 'Covenantor'. The agreement states that the Covenantor is an individual resident of a specific state. The document also indicates that the Covenantor is either the owner (or spouse of the owner) of the Franchisee.
This definition is important because the Covenantor is subject to certain obligations and restrictions under the franchise agreement, particularly regarding confidentiality, proprietary marks, and non-competition. These covenants are designed to protect Punch King Fitness's confidential information, brand, and market.
Specifically, the agreement stipulates that all shareholders, officers, partners, or members of the Franchisee must execute these covenants. This ensures that all individuals with a significant stake in the franchise are bound by these protective measures. The agreement emphasizes that violating these covenants would cause irreparable injury to Punch King Fitness and the Franchisee, potentially leading to legal injunctions and financial liabilities for the Covenantor.