FRANCHISE AGREEMENT
This Franchise Agreement ("Agreement") is made and entered into as of this ___ day of
________, 2025, by and between:
1. PARTIES: Franchisor: Mr. Raj Mehta, operating under the brand name "Tasty Treats
Café," with its principal office at [Address], hereinafter referred to as the "Franchisor";
AND
Franchisee: Ms. Priya Sharma, an entrepreneur, with her principal place of business at
[Address], hereinafter referred to as the "Franchisee".
Both parties collectively referred to as the "Parties."
2. GRANT OF FRANCHISE: The Franchisor grants the Franchisee the non-exclusive right
to operate a "Tasty Treats Café" franchise at [Location] in Mumbai, India. The Franchisee is
authorized to use the brand name, trademarks, recipes, and business model of the Franchisor.
3. TERM AND RENEWAL: This Agreement shall be valid for an initial term of five (5)
years from the Effective Date, with the option to renew for additional terms of five (5) years
each, subject to Franchisee’s compliance with the terms of this Agreement.
4. FRANCHISE FEES AND ROYALTIES:
Initial Franchise Fee: INR ______ payable upon execution of this Agreement.
Royalty Fee: ___% of gross monthly revenue, payable on or before the 10th day of
each month.
Marketing Fee: ___% of gross monthly revenue, payable towards brand promotion.
5. TRAINING AND SUPPORT: The Franchisor shall provide initial training to the
Franchisee and key personnel at an agreed location.
6. OPERATIONS AND BRAND STANDARDS: The Franchisee agrees to adhere to the
operational and quality standards set by the Franchisor. This includes using only approved
ingredients, following prescribed recipes, and maintaining customer service standards.
7. CONFIDENTIALITY: The Franchisee agrees to maintain the confidentiality of all
proprietary information, including recipes, operational procedures, and business strategies.
The Franchisee shall not disclose such information to any third party during or after the term
of this Agreement.
8. NON-COMPETE CLAUSE: The Franchisee shall not engage in, operate, or have any
financial interest in a competing business that offers similar fusion cuisine within a 50-km
radius of any "Tasty Treats Café" outlet during the term of this Agreement and for a period
of two (2) years after its termination.
9. DISPUTE RESOLUTION: Any disputes arising out of or in connection with this
Agreement shall be resolved through mediation. If mediation fails, disputes shall be referred
to binding arbitration under the Arbitration and Conciliation Act, 1996, with the venue of
arbitration being Mumbai, India.
10. TERMINATION: This Agreement may be terminated by the Franchisor under the
following conditions:
Failure to pay royalties for more than two (2) consecutive months.
Breach of operational or brand standards.
Unauthorized disclosure of confidential information.
The Franchisee may terminate the Agreement if the Franchisor fails to provide necessary
support as outlined in this Agreement.
11. LIABILITY AND INDEMNIFICATION: The Franchisee shall be solely responsible
for day-to-day operations, including legal compliance, employee management, and financial
obligations. The Franchisee agrees to indemnify and hold the Franchisor harmless from any
claims, liabilities, or legal disputes arising from the operation of the franchise.
12. GOVERNING LAW: This Agreement shall be governed by and construed in
accordance with the laws of India. Any legal action shall be initiated in the competent courts
of Mumbai.
13. MISCELLANEOUS:
This Agreement constitutes the entire agreement between the Parties and supersedes
all prior discussions or understandings.
No modifications shall be valid unless agreed to in writing and signed by both Parties.
IN WITNESS WHEREOF, the Parties hereto have executed this Franchise Agreement as of
the date first written above.
Franchisor:
Signature: _______________________
Name:
Date: _______________________
Franchisee:
Signature: _______________________
Name:
Date: _______________________
