Does Aw have the obligation to terminate the agreement if a site is not leased in time?

According to Aw's 2025 Franchise Disclosure Document, Aw does not have the obligation to terminate the franchise agreement if a suitable site is not leased in time. Instead, Aw has the unilateral right, but not the obligation, to terminate the agreement if the franchisee has not signed a lease for a site approved by Aw within 180 days from the date of the agreement.

This means that while Aw can choose to terminate the agreement if a site isn't leased within the specified timeframe, they are not required to do so. This provides Aw with flexibility in deciding whether to continue the franchise relationship based on the specific circumstances. For a prospective franchisee, this implies that failing to secure a lease within 180 days does not automatically result in termination, but it does give Aw the option to end the agreement.

It is important for potential Aw franchisees to understand the site selection process and the importance of securing an approved location within the given timeframe. Franchisees should communicate proactively with Aw regarding their site selection progress and any potential delays. While Aw may provide site selection assistance, the responsibility for leasing a suitable site ultimately falls on the franchisee. The franchisee should seek to clarify with Aw what factors might influence their decision to either terminate the agreement or grant an extension if the 180-day deadline is approaching without a signed lease.