How must a franchisee notify 360 Painting, LLC of cancellation of the ACH authorization?
360_Painting Franchise · 2025 FDDAnswer from 2025 FDD Document
| I, transactions must comply with the provisioning of United States law. | , authorize 360 Painting, LLC to initiate an electronic debit against the bank account according to the terms outlined below. I acknowledge that the origination of the ACH |
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| in which to act upon it. | Billing commences upon signature of this form and is subsequently debited monthly until I, , notify 360 Painting, LLC of its cancellation by sending written notice in such time and manner to allow both 360 Painting, LLC and receiving financial institution a reasonable opportunity |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 56)
What This Means (2025 FDD)
According to 360 Painting's 2025 Franchise Disclosure Document, to cancel the ACH authorization, the franchisee must provide written notice to 360 Painting. This notification must be made in a manner and timeframe that allows both 360 Painting and the receiving financial institution a reasonable opportunity to act upon the cancellation request.
This means a 360 Painting franchisee cannot simply stop payment through their bank; they must actively inform 360 Painting in writing that they are revoking the ACH authorization. The requirement for 'reasonable opportunity' implies the franchisee should provide advance notice, rather than waiting until the last minute before a scheduled payment.
The FDD does not specify the exact number of days considered 'reasonable', but it is common practice to provide at least 30 days' notice to ensure timely processing. Franchisees should confirm the specific notice period required by 360 Painting to avoid any disruptions or late payment penalties.
It is also important to retain proof of the written notice, such as a copy of the letter and confirmation of receipt, to protect the franchisee's interests in case of any disputes regarding the cancellation of the ACH authorization.