Can Aw reestablish the Marketing Fund after discontinuing it?
Aw Franchise · 2025 FDDAnswer from 2025 FDD Document
We have the right to discontinue or reestablish the Marketing Fund upon sixty (60) days advance notice to you.
In the event we discontinue the Marketing Fund, we will distribute all unspent amounts existing in the Marketing Fund on the date of discontinuance to franchisees in proportion to their respective contributions for the most recent six (6) months.
Source: Item 22 — CONTRACTS (FDD pages 39–40)
What This Means (2025 FDD)
According to Aw's 2025 Franchise Disclosure Document, Aw has the right to reestablish the Marketing Fund after discontinuing it. Aw must provide franchisees with sixty days advance notice before reestablishing the Marketing Fund.
If the Marketing Fund is discontinued, any unspent amounts in the fund will be distributed to franchisees. The distribution will be proportional to each franchisee's contributions to the fund over the six months before the discontinuation date. This ensures that franchisees receive back a portion of their contributions if the fund is terminated.
This clause provides Aw with flexibility in managing the Marketing Fund, allowing them to adjust their marketing strategy based on changing market conditions. However, it also assures franchisees that their contributions are protected, as any remaining funds will be returned to them if the Marketing Fund is discontinued.