For Afuri Ramen Dumpling, what is the deadline for continuously operating the second franchise?
Afuri_Ramen_Dumpling Franchise · 2024 FDDAnswer from 2024 FDD Document
Time is of the essence of this Development Schedule. For the avoidance of doubt, the Development Schedule set forth above is in lieu of the opening and mandatory training deadlines set forth in the Franchise Agreements contemporaneously executed with this Addendum.
In the event that you do not comply with the above Franchise opening and continuous operation requirements, we will have the right to terminate any of your franchise agreements representing franchises that have not yet opened for business. Any failure to commence operation caused by a war or civil disturbance, a natural disaster, a labor dispute, shortages or other events beyond your reasonable control (not including financial circumstances) will be excused for a period of time that we deem reasonable under the circumstances.
Source: Item 23 — Receipts (FDD pages 50–189)
What This Means (2024 FDD)
According to Afuri Ramen Dumpling's 2024 Franchise Disclosure Document, the deadline for continuously operating the second franchise is determined by the Development Schedule outlined in the Multiple Franchise Purchase Addendum. This schedule supersedes the standard opening and training deadlines found in individual Franchise Agreements.
The Development Schedule itself is not detailed in the provided excerpts, so the specific timeframe for opening and continuously operating the second franchise cannot be determined. However, the document emphasizes that 'Time is of the essence' regarding this schedule, indicating that adherence to the agreed-upon milestones is critical.
Failure to meet the requirements of the Development Schedule can result in Afuri Ramen Dumpling having the right to terminate franchise agreements for locations that have not yet opened. However, the franchisor may excuse delays caused by events beyond the franchisee's control, such as war, natural disasters, or labor disputes, for a period deemed reasonable by the franchisor. Prospective franchisees should carefully review the Development Schedule in the Multiple Franchise Purchase Addendum and discuss any potential concerns with Afuri Ramen Dumpling before signing the agreement.