Under what circumstances is a Spray Net franchisee required to reimburse for touch-up work?

According to Spray Net's 2025 Franchise Disclosure Document, a franchisee may be required to reimburse costs associated with touch-up work under specific circumstances. If, after the franchise agreement terminates or expires, Spray Net, one of its affiliates, or another Spray Net franchisee provides touch-up work to customers who were originally serviced by the franchisee, the franchisee is obligated to cover the actual costs of that touch-up work. This reimbursement is due upon demand from Spray Net or the relevant affiliate or franchisee who performed the touch-up services.

This provision means that a former Spray Net franchisee could face unexpected expenses even after their franchise agreement has ended. The obligation arises if customers they previously served require additional work, and Spray Net ensures that work is completed through its own resources or other franchisees. The franchisee's responsibility is limited to the 'actual costs' of the touch-up work, but the FDD does not define how these costs are calculated or documented.

For a prospective Spray Net franchisee, this clause highlights the importance of quality control and customer satisfaction during the term of the agreement. Poor workmanship that leads to future touch-ups could result in financial liabilities even after the franchisee has exited the system. It would be prudent for a potential franchisee to inquire about the typical costs associated with touch-up work and the procedures for resolving disputes over the necessity or expense of such work.