factual

Under what conditions can an All Team franchisee terminate the Franchise Agreement?

All_Team Franchise · 2025 FDD

Answer from 2025 FDD Document

  • 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 said thirty (30) day period and diligently pursues a cure.

Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 28–30)

What This Means (2025 FDD)

According to the 2025 All Team 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 to address the default within the initial 30-day period and is actively working towards a resolution. This clause ensures that franchisees have recourse if All Team fails to meet its obligations under the agreement, while also providing All Team with a reasonable opportunity to rectify any shortcomings.

This termination right is a standard protection for franchisees, allowing them to exit the agreement if the franchisor fails to uphold their end of the contract. However, the franchisee must adhere to the notification and cure period requirements to properly exercise this right. Prospective franchisees should carefully review the specific terms and conditions of the Franchise Agreement to fully understand their rights and obligations regarding termination.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.