Agreement Template / December 4, 2018 / Hattie Salas
Assigning geographical boundaries: A franchise has to have a geographical boundary within which the franchisor should not establish another franchise. This goes in the interest of the franchisee to have that added from a Franchise agreement template in the final contract so that there are no competitors in your territory. Time period of the Agreement: This has to be defined with reference to your investment. With larger investment the time period of the agreement has to be proportionately more. Not settling on a time period could be disastrous. Royalties fee and total anticipated investment: The fee for getting the franchise royalty for using the trademark and brand name and the anticipated investment in the business have to be agreed upon in the agreement.
These are binding obligations that you can be sued for if you dont follow them so its important to take them seriously. And if you work at a small business you likely dont even have the time or money for an attorney to handle the constant flow of nondisclosure agreements that often comes your way. So its not a bad idea to try and get a sense of what the key provisions are in a comprehensive confidentiality agreement template. After all most of these provisions are more business oriented than legalistic so shouldnt you make the business call on what positions you want to take in your confidentiality contracts? Here are the key provisions and negotiating positions that you want to think about: 1. Business Purpose. Generally you state at the top of a confidentiality agreement why you are sharing your confidential information.
A good form will have some empty lines to write specifics about the job role in case the basic agreement doesnt cover them. Another benefit is the clear reduction in legal liability that a business can achieve by using a simple employment agreement template. When you have clear requirements for both parties written in a signed document this eliminates a lot of the ambiguity and costs associated with lawyers and courts if you are ever sued by a current or former employee (or worse yet the employees union). As long as the agreement follows the law and the employee was competent at the time of signing most courts will honor its terms. This can get you out of a very expensive situation! On the other hand a detriment of using a pre-written template is that it may not handle more complex jobs or specific types of contract projects where there are a lot of detailed deliverables.