What instructions must the B Bops Developer follow when executing the Unit Franchise Agreement?
B_Bops Franchise · 2025 FDDAnswer from 2025 FDD Document
Upon approval of a proposed site, Company shall grant Developer the right and license to own and operate a B-Bop's Restaurant at such site, provided that Developer is in compliance with the terms of this Agreement and the terms of all Unit Franchise Agreements between the parties. Subject to the foregoing, Company shall forward to Developer a Unit Franchise Agreement to be executed with respect to the approved site. The Unit Franchise Agreement shall be the standard form of franchise agreement being utilized by Company to grant franchises at the time of development of each Unit. Developer shall execute the Unit Franchise Agreement in accordance with Company's instructions within twenty (20) days of receipt thereof and return it, together with the initial franchise fee payable for the Unit (as specified in Appendix III), to Company. In the event Developer fails to return the Unit Franchise Agreement and the initial franchise fee to Company within such twenty (20) day period, Company's approval of the site shall be null and void and Developer shall have no rights with respect to such site. The parties hereby acknowledge and agree that the terms and conditions of the Unit Franchise Agreement executed for the Unit developed pursuant to this Agreement shall govern and control the franchise relationship for each such Unit, except to the extent that such terms and conditions conflict with the provisions of this Agreement, in which event the provisions of this Agreement shall control. The parties further acknowledge and agree that the terms and conditions of each Unit Franchise Agreement executed pursuant to this Agreement shall remain in full force and effect notwithstanding the expiration and termination of this Agreement.
Source: Item 23 — RECEIPTS (FDD pages 53–145)
What This Means (2025 FDD)
According to the 2025 B Bops Franchise Disclosure Document, after B Bops approves a proposed site, they will grant the Developer the right to own and operate a B Bops Restaurant at that location. To finalize this, B Bops will send the Developer a Unit Franchise Agreement.
The Developer must then execute the Unit Franchise Agreement according to B Bops's instructions. This involves signing and returning the agreement within twenty days of receipt, along with the initial franchise fee as specified in Appendix III of the agreement. Failure to comply within this 20-day period will render B Bops's site approval null and void, and the Developer will lose all rights to that site.
The terms and conditions outlined in the Unit Franchise Agreement will govern the franchise relationship for each unit developed. However, if any conflicts arise between the Unit Franchise Agreement and the Multiple-Unit Development Agreement, the provisions of the Development Agreement will take precedence. It's important to note that the Unit Franchise Agreement remains in effect even if the Development Agreement expires or terminates.