On what grounds can an Amorino franchisee terminate the agreement?
Amorino Franchise · 2025 FDDAnswer from 2025 FDD Document
- G. Termination by Franchisee. Without Franchisor's written consent, Franchisee may not terminate this Agreement prior to the expiration of the term, except through legal process resulting from Franchisor's breach of this Agreement which breach results in a material adverse effect on Franchisee, and only under the following conditions: If (i) Franchisee is not currently in material breach of this Agreement or any other agreement between Franchisor and Franchisee and (ii) Franchisor materially breaches this Agreement and fails to cure such breach within one hundred and twenty (120) days (or such other reasonable time if additional time is required to cure such breach) after written notice of such breach, specifically enumerating all alleged deficiencies, is delivered to Franchisor by Franchisee, Franchisee may terminate this Agreement. Such termination shall be effective thirty (30) days after delivery to Franchisor of notice that such material breach has not been cured and Franchisee elects to terminate this Agreement.
Source: Item 22 — CONTRACTS (FDD pages 80–81)
What This Means (2025 FDD)
According to Amorino's 2025 Franchise Disclosure Document, a franchisee can only terminate the franchise agreement prior to the expiration of the term through legal process resulting from Amorino's breach of the agreement, which breach results in a material adverse effect on the franchisee.
To terminate the agreement, the franchisee must not be in material breach of the agreement or any other agreement between the franchisor and franchisee. Additionally, Amorino must materially breach the agreement and fail to cure such breach within 120 days (or such other reasonable time if additional time is required to cure such breach) after written notice of such breach, specifically enumerating all alleged deficiencies, is delivered to Amorino by the franchisee.
The termination will be effective 30 days after delivery to Amorino of notice that such material breach has not been cured and the franchisee elects to terminate the agreement. This means that an Amorino franchisee has limited options for terminating the agreement early and must follow a specific legal process to do so.