Can Aw revoke a waiver at any time?
Aw Franchise · 2025 FDDAnswer from 2025 FDD Document
- 19.3 Waiver of Obligations. Either you or the Company may, by written instrument, unilaterally waive or reduce any obligation of or restriction upon the other under this Agreement, effective upon delivery of written notice thereof to the other or such other effective date stated in the notice of waiver. Any waiver granted by us will be without prejudice to any other rights we may have, will be subject to our continuing review, and may be revoked, in our sole discretion, at any time and for any reason, effective upon delivery to you of ten (10) days prior written notice.
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 revoke any waiver it grants to a franchisee. The waiver revocation is at Aw's sole discretion, meaning they can revoke it at any time and for any reason. However, Aw must provide the franchisee with ten days prior written notice before the revocation takes effect.
This clause in the franchise agreement gives Aw significant flexibility in enforcing the terms of the agreement. While a waiver might provide temporary relief or flexibility for a franchisee, Aw retains the power to reinstate the original obligations with a relatively short notice period. This could impact a franchisee's operations if they have come to rely on the waiver.
For a prospective Aw franchisee, it is important to understand that any waivers obtained are not permanent and can be revoked. Franchisees should factor this possibility into their business planning and be prepared to comply with the original terms of the agreement on short notice if a waiver is revoked. This is a fairly standard clause in franchise agreements, designed to protect the franchisor's rights and ensure consistent enforcement of standards across the franchise system.