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What happens if an Annex Brands franchisee fails to cure the reasons given for non-renewal?

Annex_Brands Franchise · 2025 FDD

Answer from 2025 FDD Document

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If Franchisor believes there are grounds for non-renewal, Franchisor will give Franchisee written notice of its decision not to permit renewal of the Franchise at least 90 days prior to the 20-year anniversary of the execution date of this Agreement, which notice will specify the reasons for the decision not to permit renewal. If Franchisor gives such notice, and if the reasons given for

the decision are not curable or Franchisee fails to cure any reasons given that are curable, the term of the Franchise granted under this Agreement will expire on the 20-year anniversary of the execution date of this Agreement.

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Source: Item 22 — Contracts (FDD pages 109–110)

What This Means (2025 FDD)

According to the 2025 FDD, if Annex Brands believes there are grounds for non-renewal of a franchise, the company will provide the franchisee with written notice at least 90 days before the 20-year anniversary of the franchise agreement. This notice will detail the reasons for the non-renewal decision.

If the reasons for non-renewal are not curable, or if the Annex Brands franchisee fails to correct any curable issues, the franchise term will expire on the 20-year anniversary of the agreement. This means the franchisee will no longer be authorized to operate under the Annex Brands brand after this date.

This provision highlights the importance of maintaining compliance with the franchise agreement throughout its term. Franchisees should pay close attention to any notices of potential non-renewal and take prompt action to address any deficiencies to ensure they can continue operating their Annex Brands business beyond the initial 20-year term.

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.