What information must Aw include in a notice of nonrenewal?

According to Aw's 2025 Franchise Disclosure Document, if Aw sends a notice of nonrenewal to a franchisee, the notice must state the reasons for Aw's refusal to renew the franchise agreement. This means Aw cannot simply decline to renew without providing a justification.

This requirement protects the franchisee by ensuring transparency and providing an opportunity to understand why the franchise is not being renewed. The franchisee can then assess whether the reasons are valid and potentially take steps to address the issues, if possible, although there is no guarantee Aw will change their decision.

It is important to note that Aw must also provide timely notice of non-renewal. If Aw fails to provide a deficiency notice within sixty days of receiving the franchisee's renewal notice, or if Aw does not provide notice of their decision not to renew six months before the agreement's expiration, Aw may extend the agreement to allow the franchisee time to cure deficiencies or to provide the required six-month non-renewal notice.