What is the late charge for overdue payments under the Atwell Suites dispensing equipment lease?

According to Atwell Suites' 2025 Franchise Disclosure Document, if a customer fails to pay rent or any other amount required by the lease within 10 days of the due date, they will be required to pay a late charge. This late charge is equal to five percent (5%) per month of the overdue payment. However, the FDD specifies that the late charge will be such lesser amount that the company is entitled to receive under any applicable law.

This means that if a franchisee is late on a payment for the dispensing equipment lease, they will incur a penalty of 5% per month on the overdue amount. This late fee is intended to incentivize timely payments and compensate Atwell Suites for the inconvenience and potential financial loss caused by the delay. The clause regarding "such lesser amount that Company is entitled to receive under any applicable law" protects the franchisee from excessive late fees that may be prohibited by state or local regulations.

It is important for prospective Atwell Suites franchisees to understand the payment terms and potential penalties associated with the dispensing equipment lease. Franchisees should ensure they have sufficient cash flow to cover these lease payments to avoid incurring late charges. Additionally, franchisees should be aware of any applicable laws in their jurisdiction that may limit the amount of late fees that can be charged.