Can the Aw Franchise Agreement be modified?
Aw Franchise · 2025 FDDAnswer from 2025 FDD Document
| PROVISION | SECTION IN FRANCHISE AGREEMENT | SUMMARY |
|---|---|---|
| s. Modification of the Agreement | Sections 6.2 and 19.6 | Operations Manual and standards and specifications are subject to change. No modifications to the Franchise Agreement except if in writing and signed by both parties. |
| t. Integration/merger clause | Section 19.6 | Only terms of the Franchise Agreement (including exhibits, attachments, Operations Manual and other written materials) and representations made in this Disclosure Document are binding. |
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER, AND DISPUTE RESOLUTION (FDD pages 34–36)
What This Means (2025 FDD)
According to Aw's 2025 Franchise Disclosure Document, the Franchise Agreement can only be modified if the changes are made in writing and signed by both Aw and the franchisee. However, the Operations Manual, standards, and specifications are subject to change by Aw. This means that while the core agreement is protected, Aw retains the flexibility to update operational procedures and standards as needed. This is a fairly standard practice in franchising, as it allows the franchisor to adapt to changing market conditions and maintain brand consistency.
For a prospective Aw franchisee, this means the initial terms of the Franchise Agreement are relatively stable, providing a degree of security. However, franchisees must stay informed about changes to the Operations Manual, as these changes are binding and can impact day-to-day operations. It is important to note that only the terms of the Franchise Agreement, including exhibits, attachments, the Operations Manual, other written materials, and representations made in the Disclosure Document are binding.
It is crucial for potential franchisees to carefully review the sections of the Franchise Agreement that address modifications, specifically Sections 6.2 and 19.6, to fully understand the scope of permissible changes and their rights in the event of a dispute. Understanding the difference between what can be changed unilaterally by Aw (like the Operations Manual) and what requires a written agreement is essential for a successful franchise relationship.