Does a custom or practice at variance with the B Bops franchise agreement terms waive any right?
B_Bops Franchise · 2025 FDDAnswer from 2025 FDD Document
Company and Franchisee shall not be deemed to have waived or impaired any right, power or option reserved by this Agreement by virtue of any custom or practice of the parties at variance with the terms hereof; by any failure, refusal or neglect of Company or Franchisee to exercise any right under this Agreement or to insist upon exact compliance by the other with its obligations hereunder; by any waiver, forbearance, delay, failure or omission by Company to exercise any right, power or option, whether of the same or of a different nature, with respect to any other franchisee; or through the acceptance by Company of any payments due from Franchisee after any breach of this Agreement.
Source: Item 22 — CONTRACTS (FDD page 53)
What This Means (2025 FDD)
According to B Bops's 2025 Franchise Disclosure Document, neither B Bops nor the franchisee will be considered to have waived or impaired any right, power, or option reserved by the franchise agreement due to custom or practice that differs from the agreement's terms. This also applies to any failure, refusal, or neglect by either party to exercise a right or insist on compliance, any waiver or delay, or the acceptance of payments after a breach of the agreement.
This means that even if B Bops has, in the past, allowed franchisees to deviate from certain requirements in the franchise agreement, they still retain the right to enforce those requirements in the future. Similarly, if a franchisee has not strictly adhered to every obligation, B Bops's failure to immediately enforce those obligations does not prevent them from doing so later.
This clause protects B Bops's ability to enforce the franchise agreement fully, even if there have been past instances of leniency or inconsistent enforcement. It also clarifies that any previous waivers do not set a precedent for future conduct. This is a common provision in franchise agreements, designed to ensure that the franchisor retains maximum flexibility in managing the franchise system and enforcing its standards. Franchisees should be aware that B Bops can change its approach to enforcement at any time, even if it has previously been lax in enforcing certain rules.