The Absentee Franchise Agreement is a specialized legal document used in the Philippine franchise industry when a franchisee wishes to own a franchise business without being involved in its daily operations. This arrangement is particularly common among investors or business owners who want to diversify their portfolio while maintaining their existing business or professional commitments. The agreement complies with Philippine franchise laws, particularly the Franchise Investment Act (RA 8799) and related regulations, while incorporating specific provisions for professional management, operational oversight, and protection of both parties' interests. It includes detailed sections on the appointment and supervision of an Operations Manager, reporting requirements, quality control measures, and specific protocols for absentee ownership situations. The document is structured to ensure clear communication channels, defined responsibilities, and proper oversight mechanisms while maintaining the franchise system's integrity.
Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.
Your data doesn't train Genie's AI
You keep IP ownership聽of your docs
1. Parties: Identification of the Franchisor and Franchisee, including complete legal names and addresses
2. Background: Context of the agreement, brief description of the franchise system, and acknowledgment of absentee ownership structure
3. Definitions: Detailed definitions of key terms used throughout the agreement, including specific terms related to absentee ownership
4. Grant of Franchise: Specific rights being granted, territory definitions, and exclusivity terms
5. Term and Renewal: Duration of the agreement and conditions for renewal
6. Fees and Payments: Franchise fees, royalties, advertising contributions, and payment terms
7. Franchisor's Obligations: Support, training, and ongoing assistance provided by the franchisor
8. Franchisee's Obligations: Operational requirements, compliance standards, and reporting obligations
9. Operations Manager Requirements: Qualifications, responsibilities, and authority of the designated operations manager running the franchise
10. Training and Support: Initial and ongoing training requirements for operations manager and staff
11. Quality Control: Standards, inspections, and compliance requirements
12. Intellectual Property: Use of trademarks, trade secrets, and other intellectual property
13. Reporting and Audit Rights: Financial reporting requirements and franchisor's audit rights
14. Insurance and Indemnification: Required insurance coverage and mutual indemnification provisions
15. Default and Termination: Events of default, cure periods, and termination procedures
16. Post-Termination Obligations: Obligations and restrictions after agreement termination
17. Assignment and Transfer: Conditions for transferring or selling the franchise
18. Governing Law and Dispute Resolution: Choice of law, jurisdiction, and dispute resolution procedures
19. General Provisions: Standard boilerplate clauses including notices, severability, and entire agreement
1. Multiple Unit Rights: Used when franchisee has rights or options to develop additional units
2. International Operations: Include when franchise operates across international borders
3. E-commerce Rights: Include when online sales or digital operations are part of the franchise
4. Development Schedule: Used when agreement includes timeline for developing multiple units
5. Co-Branding Rights: Include when franchisee has rights to operate other brands in the same location
6. Special Territory Rights: Used for unique territorial arrangements or protected territories
7. Financing Terms: Include when franchisor provides or arranges financing
8. Master Franchise Provisions: Used when franchisee has rights to sub-franchise
1. Schedule A - Franchise Location and Territory: Detailed description of approved location and territorial rights
2. Schedule B - Initial Franchise Fee and Royalty Structure: Comprehensive breakdown of all fees and payment schedules
3. Schedule C - Operations Manual Table of Contents: Overview of operations manual contents without disclosing confidential details
4. Schedule D - Initial Equipment and Inventory Requirements: List of required equipment, supplies, and initial inventory
5. Schedule E - Approved Suppliers: List of approved suppliers and proprietary products
6. Schedule F - Training Program: Detailed description of initial and ongoing training programs
7. Schedule G - Standard Operating Procedures: Key operational requirements and standards
8. Schedule H - Advertising Guidelines: Approved advertising formats and requirements
9. Schedule I - Insurance Requirements: Detailed insurance coverage requirements
10. Appendix 1 - Form of Operations Manager Agreement: Standard agreement for hiring and managing operations manager
11. Appendix 2 - Confidentiality Agreement: Required confidentiality terms for all key personnel
12. Appendix 3 - Personal Guaranty: Required personal guarantees from franchisee principals
Find the exact document you need
Franchise Agreement Clothing Store
A Philippine law-governed franchise agreement for establishing and operating a branded clothing store, outlining rights, obligations, and operational standards between franchisor and franchisee.
Download
Absentee Franchise Agreement
A Philippine law-governed franchise agreement for absentee franchise operations, establishing rights and obligations for franchisors and absent franchisees.
Download
Franchise Agreement For Food Outlet
A Philippine law-governed agreement establishing a franchise relationship for food outlet operations, detailing rights, obligations, and operational standards under local franchise and food safety regulations.
Download
Franchise Owned Company Operated Agreement
A Philippine-law governed agreement establishing a Franchise Owned Company Operated (FOCO) arrangement, defining ownership, operational control, and profit-sharing structures.
Download
Real Estate Franchise Agreement
A Philippine law-governed agreement establishing a franchise relationship for operating a real estate business, ensuring compliance with RESA and DTI franchise regulations.
Download
Sub Franchise Agreement
A legal agreement governed by Philippine law that establishes the rights and obligations between a sub-franchisor and sub-franchisee within a master franchise system.
Download
Area Development Agreement Franchise
A Philippine-law governed agreement granting rights to develop multiple franchise units within a specified territory in the Philippines, including development schedules, territorial rights, and compliance requirements.
Download
Non Exclusive Franchise Agreement
A Philippine law-governed agreement granting non-exclusive rights to operate a franchised business while allowing the franchisor to authorize other franchisees in the same territory.
Download
Multi Unit Franchise Agreement
A Philippine law-governed agreement establishing rights and obligations for developing multiple franchise units within specified territories, including development schedules, operational requirements, and financial terms.
Download
Individual Franchise Agreement
A Philippine law-governed agreement establishing a franchise relationship between a franchisor and individual franchisee, outlining rights, obligations, and operational requirements.
Download
Exclusive Territory Franchise Agreement
A Philippine law-governed agreement granting exclusive territorial franchise rights, including operational requirements and compliance standards.
Download
Franchise Sale Agreement
A Philippine law-governed agreement establishing the terms and conditions for the sale and operation of a franchise business, including rights, obligations, and regulatory compliance requirements.
Download
Franchise Lease Agreement
A Philippine law-governed agreement combining franchise rights and property lease terms, establishing operational and premises usage rights while ensuring regulatory compliance.
Download
Franchise Deposit Agreement
A Philippine law-governed agreement establishing terms for franchise deposit payment, management, and potential refund or forfeiture between franchisor and prospective franchisee.
Download
Franchise Broker Agreement
A Philippine law-governed agreement between a franchisor and broker for franchise opportunity marketing and franchisee recruitment services.
Download
Direct Franchise Agreement
A Philippine law-governed agreement establishing direct franchise rights and obligations between franchisor and franchisee, compliant with DTI regulations.
Download
Dealer Franchise Agreement
A Philippine law-governed agreement establishing the terms and conditions for operating a franchise business, detailing rights, obligations, and operational requirements between franchisor and franchisee.
Download
Franchise Purchase Agreement
A legally binding agreement under Philippine law that grants franchise rights and establishes the business relationship between franchisor and franchisee.
Download
Franchisor Franchisee Agreement
A Philippine law-governed agreement establishing the rights and obligations between franchisor and franchisee, compliant with local franchise regulations.
Download
Franchise Transfer Agreement
A legally binding agreement under Philippine law that transfers franchise rights and obligations from an existing franchisee to a new franchisee, with franchisor approval.
Download
骋别苍颈别鈥檚 Security Promise
Genie is the safest place to draft. Here鈥檚 how we prioritise your privacy and security.
Your documents are private:
We do not train on your data; 骋别苍颈别鈥檚 AI improves independently
All data stored on Genie is private to your organisation
Your documents are protected:
Your documents are protected by ultra-secure 256-bit encryption
We are ISO27001 certified, so your data is secure
Organizational security:
You retain IP ownership of your documents and their information
You have full control over your data and who gets to see it
.png)