http://www.tasteofphilly.biz/wp-content/uploads/TasteOfPhillySampleFranchiseAgre
ID: 360221 • Letter: H
Question
http://www.tasteofphilly.biz/wp-content/uploads/TasteOfPhillySampleFranchiseAgreement.pdf
http://www.freefranchisedocs.com/haagen-dazs-Franchise-Agreement.php
Compare and contrast the two Franchise Agreements (Taste of Philly and Haagen Dazs) with respect to the contractual termination provisions.
1. Under what SPECIFIC circumstances could the Franchisor terminate the agreement AFTER THE FRANCHISE IS OPERATING based on the Taste of Philly Agreement? Cite the contract location(s)
2. Under what SPECIFIC circumstances could the Franchisor terminate the agreement AFTER THE FRANCHISE IS OPERATING based on the Haagen Dazs agreement? Cite the contract location(s)
Explanation / Answer
1)
Under the Sections 17.2 G,H, I and J, Frachisor can Terminate the Agreement with Franchisee, where it states:
Franchisee or any principal, director, officer, shareholder, or agent of Franchisee
contrary to the provisions of this Agreement discloses or causes to be disclosed any Confidential
Information provided to Franchisee or fails to exercise reasonable care to prevent such disclosure.
(h) If any of the representations and warranties by Franchisee pursuant to Section 25
fails to be true and correct in any material respect when made, deemed made, furnished or as of the date
of this Agreement.
(i) An inspection of Franchisee’s books and records pursuant to Section 14.3(b)
establishes a pattern of underreporting by Franchisee involving three (3) or more Accounting Periods
within any twenty-four (24) month period.
(j) Franchisee or any Person holding or owning a Controlling Ownership Interest in
Franchisee is or has been convicted of a felony or other similar crime or offense or has engaged in a
pattern or practice of acts or conduct that is likely in Franchisor’s judgment to, as a result of the adverse
publicity that has occurred in connection with such offense, acts, or conduct, adversely affect the
Restaurant, other Taste of Philly Restaurants, the System, the Proprietary Marks, the goodwill associated
therewith or Franchisor’s interests therein, any Franchisor Restaurant Facility or any other business
conducted by Franchisor or any of its Affiliates.
2. Under 15.1.2.1-->(a)- Selling Non permitting items
(c) not adhering to safety
(d) good will threat to MARKS or SYSTEMS
15.1.2.5.6--> Criminal Acts
15.1.2.5.7--> Adulteration or Palming Off of Products
15.1.2.5.8--> Un Authorized Transactions
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