What section of the Bang Cookies Multi-Unit Development Agreement discusses the length of the franchise term?
Bang_Cookies Franchise · 2024 FDDAnswer from 2024 FDD Document
| Provision | Sections in Multi-Unit Development Agreement | Summary | |
|---|---|---|---|
| a. | Length of the franchise term | 3 | Varies depending on the number of Shops to be developed and the Development Area. The agreement commences on the effective date and the term automatically expires at the earlier of the opening of the final Shop required for development, or the last day of the calendar month in which the final Shop was required to be open under the Multi-Unit Development Agreement. |
| b. | Renewal or extension of the | Not | There is no renewal of the Multi-Unit Development |
| term | applicable | Agreement. |
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 42–49)
What This Means (2024 FDD)
According to Bang Cookies's 2024 Franchise Disclosure Document, the length of the franchise term within the Multi-Unit Development Agreement is detailed in Section 3. The agreement's duration varies based on the number of Bang Cookies shops to be developed and the specifics of the development area.
The term of the Multi-Unit Development Agreement for Bang Cookies commences on the effective date. It automatically expires when the final shop required under the agreement is opened, or on the last day of the calendar month in which the final shop was required to be opened, whichever comes first.
Unlike many franchise agreements, the Bang Cookies Multi-Unit Development Agreement does not offer an option for renewal or extension. This means that once the development obligations are fulfilled or the agreed-upon timeframe concludes, the agreement terminates without an opportunity to continue the relationship under the same development terms.