Business & Franchise Lawyers
Since 1996

Call Today for Help
(800) 976-4904
Contact Form

FDD Modification and Revision: Relaunch of Education Franchise

Result

Revised and Re-launched Existing Child Learning Franchise System

Summary

The existing franchisor client experienced a common problem of her FDD, franchise agreement and, overall approach to her franchise system to be incompatible to her actual business. The clients FDD and franchise program was initially established by a "franchise consulting and development company" where her FDD development was, essentially, "outsourced" to a contract attorney who did not possess a thorough understanding of the underlying business and the franchisors goals. The result, a generic FDD and franchise agreement that did not match the actual operation of the enrichment centers.

Comments

After an extensive planning session and evaluation of existing franchise units and franchisor goals, Mr. Internicola, Esq. completely revised the FDD, Franchise Agreement and Area Development Agreement to permit a dual business model. This dual model accomplished the franchisor's goal of selling two versions of her franchise concept comprised of a fixed center enrichment facility and a mobile off-site enrichment service delivered at third party locations.

Significant revisions also went into:

  • Expanding franchisor's control over proprietary instruction materials;
  • Monitoring franchisees mandatory utilization of proprietary learning materials;
  • Establishment of definitive and manageable protected territories;
  • Development of franchise agreement "carve-pots" permitting franchisor to distribute educational materials through alternative channels of distribution; and
  • expanded disclosure of franchisor revenue generated from proprietary products.

Success Stories

Shuhash Bhavsar
Office Evolution

Bob Levitt
Lobster Joint

Michael Burke
Denino’s