On what grounds can an All Team franchisee terminate the franchise agreement?
All_Team Franchise · 2025 FDDAnswer from 2025 FDD Document
reement, (i.e., three (3) or more times in any twelve (12) month period) whether or not such failures or refusals are corrected after notice; or (g) any other act or omission which permits termination without notice and/or an opportunity to cure under applicable state law.
- B. Termination By FRANCHISEE. FRANCHISEE may terminate this Agreement if ATFC shall materially default in performance of any terms and conditions in this Agreement, after giving ATFC written notice within thirty (30) days thereof, and if the default has not been corrected within thirty (30) days after such notice, or if such default is incapable of being cured within thirty (30) days, such longer period of time as is necessary to cure such default, provided that ATFC has commenced curing such default within sai
Source: Item 22 — CONTRACTS (FDD pages 33–34)
What This Means (2025 FDD)
According to All Team's 2025 Franchise Disclosure Document, a franchisee can terminate the franchise agreement if All Team materially defaults in the performance of any terms and conditions outlined in the agreement. To do so, the franchisee must provide All Team with written notice of the default, allowing 30 days for All Team to correct the issue.
If the default cannot be resolved within 30 days, the franchisee can still terminate the agreement, provided that All Team has started working to correct the default within the initial 30-day period and is diligently pursuing a resolution. This clause ensures that franchisees have recourse if All Team fails to uphold its obligations under the franchise agreement.
Additionally, the FDD states that a franchisee may terminate the agreement on any grounds available by law. This provides an additional layer of protection for the franchisee, allowing them to pursue termination based on legal principles beyond the specific terms outlined in the franchise agreement.