Must the written notice from Aw regarding a failure to comply with the agreement specify which provision has been violated?
Aw Franchise · 2025 FDDAnswer from 2025 FDD Document
nsent to the termination or expiration of this Agreement, or any other relief which we may seek in a complaint to lift the provisions of any automatic stay under any bankruptcy rules. In addition, you (and your Owners) agree not to seek any injunctive relief from any court in any jurisdiction which would have the effect of staying or enjoining this provision.
- 15.2 By the Company With Opportunity to Cure. We have the right to terminate this Agreement upon written notice to you if you (or any of your Owners):
- (a) fail to accurately report the Gross Revenue of your Papa Ray's Pizza Restaurant or to timely pay royalty fees, marketing fund contributions, or other payments due to us or our affiliates, and do not correct such failure within ten (10) days after written notice of such failure is delivered to you;
- (b) commit any act or omission of default under the lease for the Premises and do not cure the default within the applicable cure period set forth in the lease;
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 terminate the franchise agreement if the franchisee fails to comply with any provision of the agreement or mandatory specifications. In the event of such non-compliance, Aw must provide written notice to the franchisee. The franchisee then has 30 days to correct the failure.
If the breach cannot be reasonably cured within 30 days, Aw will allow a reasonable amount of time to complete the cure if the franchisee commences a bona fide program to cure the breach within 30 days and continues to take necessary actions until the cure is completed. However, if the franchisee fails to continue the necessary action or does not complete the cure within a reasonable period, Aw can terminate the agreement with written notice.
The Aw franchise agreement does not explicitly state that the written notice of failure to comply must specify the exact provision of the agreement that has been violated. However, the notice must describe the failure with enough clarity that the franchisee understands the issue and can take steps to correct it within the given timeframe. It is important for prospective franchisees to seek clarification from Aw regarding the level of detail required in such notices to ensure they can effectively address any compliance issues.