There are many reasons why you might be considering a franchising agreement in Miami, Boca Raton or Naples, but you should only do this under the guidance of an experienced attorney who can help you understand all of your rights and obligations under such a contract. For the most part, clauses in a franchising or trademark licensing agreement will not be negotiable, so it’s crucial that you agree with the terms and that you know what they mean.
Since these kinds of agreements tend to be long-term, it’s unlikely that there will be a chance to remove yourself from the agreement, too, highlighting yet again why it’s so important to have legal counsel review any trademark licensing or franchising agreement in South Florida.
Some of the typical clauses in such an agreement that are worth a thorough look include the obligations of the franchisor and the franchisee, the territory that is allowed and whether it is non-exclusive or exclusive, whether any minimum performance criteria can be used to revoke an agreement, actual fees that are to be paid, the duration of the agreement, circumstances, if any, under which the agreement can be terminated, and whether there are any rights to have the franchise resold. It might help to make a copy of the agreement with notes.
Knowing your rights is vital regardless of your role in the franchising conversation. When you are clear about what’s expected under a franchise agreement, there are no surprises down the road when you attempt to do something that is not allowed by the agreement. Doing so could expose you to liability and be harmful for your business, so always walk through each clause of an agreement in depth with the experienced Miami trademark licensing and franchise agreement attorneys of Faro & Associates.