What documents must be signed to renew an Aw franchise?
Aw Franchise · 2025 FDDAnswer from 2025 FDD Document
ny period of time necessary in order to provide you reasonable time to cure the deficiencies or to provide the six (6) month non-renewal notice required under this Agreement.
- 3.3 Renewal Agreement; Releases. To renew the franchise, the Company, you and your Owners must sign the then-current form of standard franchise agreement, which agreement will replace this Agreement in all respects, and which may contain royalty fees, advertising fees and other fees and provisions that differ from those contained in this Agreement; any ancillary agreements we are then customarily using in the grant or renewal of franchises for the operation
of Papa Ray's Pizza Restaurants (with appropriate modifications to reflect the fact that the agreement relates to the grant of a renewal franchise); and a general release, in a form satisfactory to us, of any and all claims against us and our affiliates, and our respective officers, directors, shareholders, employees, and agents.
Source: Item 22 — CONTRACTS (FDD pages 39–40)
What This Means (2025 FDD)
According to Aw's 2025 Franchise Disclosure Document, to renew the franchise, the franchisee, the company, and the franchisee's owners must sign several documents. These include the then-current form of Aw's standard franchise agreement, which will replace the existing agreement and may contain different royalty fees, advertising fees, and other provisions. Franchisees must also sign any ancillary agreements that Aw is then customarily using for new or renewal franchises for Papa Ray's Pizza Restaurants, appropriately modified to reflect that the agreement is for a renewal. Finally, a general release, in a form satisfactory to Aw, must be signed, releasing any and all claims against Aw, its affiliates, and their respective officers, directors, shareholders, employees, and agents.
It is important to note that if the franchisee or any of their owners refuse to sign these agreements and releases within thirty (30) days after their delivery, the franchisee will be deemed to have elected not to renew the franchise. This requirement ensures that all parties are in agreement with the terms of the renewal and that any potential legal issues are resolved before the new term begins.
This requirement is fairly standard in the franchise industry, as franchisors typically update their franchise agreements periodically to reflect changes in the market, legal requirements, or their own business practices. By requiring franchisees to sign the then-current form of the franchise agreement, Aw ensures that all franchisees are operating under the same terms and conditions. The general release is also a common practice, as it protects the franchisor from any potential claims that the franchisee may have arising from the previous term of the franchise agreement. Prospective franchisees should carefully review all of these documents with their legal counsel before signing to ensure that they understand the terms and conditions of the renewal.