Does Aw have the obligation to terminate the agreement if a lease is not signed within 180 days?

According to Aw's 2025 Franchise Disclosure Document, Aw does not have the obligation to terminate the franchise agreement if a lease is not signed within 180 days. Instead, Aw has the unilateral right, but not the obligation, to terminate the agreement if the franchisee has not signed a lease for an approved site within 180 days from the date of the agreement. This means Aw can choose whether or not to terminate the agreement in this situation.

This clause provides Aw with flexibility. If Aw believes the franchisee is making good faith efforts to secure a location and open a Papa Ray's Pizza Restaurant, Aw can choose to extend the deadline. However, if the franchisee is not progressing, Aw can terminate the agreement to avoid wasting resources on a franchisee who may not become operational.

For a prospective franchisee, this means the site selection process is critical. Franchisees should work closely with Aw to identify and secure an appropriate location within the 180-day timeframe. Failure to do so gives Aw the option to terminate the agreement, potentially resulting in the loss of any upfront fees paid.