Who is responsible for paying service charges incurred from rejected electronic transfers or dishonored checks submitted to Aw?

According to Aw's 2025 Franchise Disclosure Document, the franchisee is responsible for paying service charges incurred from rejected electronic transfers or dishonored checks. Specifically, the franchise agreement states that the franchisee will pay Aw any and all service charges that Aw incurs for each rejected electronic transfer or if the franchisee submits a check that is not honored or is returned for insufficient funds. This means that if a franchisee's payment to Aw is rejected by the bank for any reason, the franchisee will be responsible for covering any fees or charges that Aw incurs as a result.

This provision is fairly standard in franchise agreements, as it ensures that Aw is not penalized for issues with a franchisee's payment method. It also incentivizes franchisees to maintain sufficient funds in their accounts and to ensure that their electronic transfer information is accurate.

For a prospective Aw franchisee, this means it's crucial to manage their finances carefully and ensure they have sufficient funds available when payments are due to Aw. Failure to do so could result in additional service charges, on top of any late payment fees that may also apply. Franchisees should also ensure that their banking information provided to Aw is accurate and up-to-date to avoid any rejected transfers due to incorrect information.