What is the written notice called that a Bang Cookies franchisee must provide to elect to renew their franchise?
Bang_Cookies Franchise · 2024 FDDAnswer from 2024 FDD Document
(5) Franchisee pays the Renewal Fee and Franchisee agrees to, signs, and delivers to Franchisor, within 30 days of the date of delivery by Franchisor to Franchisee, Franchisor's then current form Shop Franchise Agreement for the Renewal Term (the "Renewal Franchise Agreement");
(6) Franchisee's Owners and their Spouses, respectively, must agree to, sign, and deliver to Franchisor, within 30 days of the date of delivery by Franchisor to Franchisee, Franchisor's then current individual guaranty agreements, and, thereby, among other things, individually and jointly guarantee the full and complete performance of the Renewal Franchise Agreement including, but not limited to, payment obligations, non-compete obligations, and restrictive covenants (the "Renewal Ancillary Agreements");
(7) Franchisee and the Owners must, prior to the Renewal Term, undertake and complete, to Franchisor's satisfaction, such additional training, if any, as designated and determined by Franchisor in Franchisor's Reasonable Business Judgment; and
(8) Franchisee and the Owners must agree to, sign, and deliver to Franchisor, within 30 days of the date of delivery by Franchisor to Franchisee, Franchisor's then current form of general release whereby Franchisee and Franchisee's Owners shall each fully release and discharge Franchisor, Franchisor's affiliates and it's officers, directors, shareholders, partners, agents, representatives, independent contractors, servants, employees, successors and assigns from any and all claims, causes of action, and suits arising from and/or related to this Agreement.
Source: Item 23 — RECEIPTS (FDD pages 56–245)
What This Means (2024 FDD)
Based on the 2024 Bang Cookies Franchise Disclosure Document, to renew their franchise, a franchisee must agree to, sign, and deliver to the franchisor the then-current form Shop Franchise Agreement for the Renewal Term, referred to as the "Renewal Franchise Agreement." This agreement must be delivered within 30 days of the date of delivery by the franchisor to the franchisee.
In addition to the Renewal Franchise Agreement, the franchisee's owners and their spouses must also agree to, sign, and deliver to the franchisor the then-current individual guaranty agreements, known as the "Renewal Ancillary Agreements," within the same 30-day timeframe. These agreements ensure that the owners individually and jointly guarantee the full performance of the Renewal Franchise Agreement, including payment obligations, non-compete obligations, and restrictive covenants.
Furthermore, prior to the Renewal Term, the franchisee and the owners must complete any additional training designated by Bang Cookies. They must also agree to, sign, and deliver a general release form, discharging Bang Cookies and its affiliates from any claims related to the original agreement. Compliance with these conditions is essential for a Bang Cookies franchisee to successfully renew their franchise.