Under what conditions can my right to use the Basecamp Fitness Marks and System be terminated?
Basecamp_Fitness Franchise · 2025 FDDAnswer from 2025 FDD Document
14. OUR TERMINATION RIGHTS
A. Without Notice. You will be in default and we may, at our option, terminate this Agreement, without affording you any opportunity to cure the default, effective upon delivery of notice of termination to you, following the occurrence of any of the following events:
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- you are liquidated or dissolved;
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- your Basecamp Studio is not constructed strictly according to the plans we have approved and you do not remedy the deficiencies within thirty (30) days after notice from us;
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- you fail to operate for seven (7) consecutive days (unless prevented from doing so by fire, flood, or acts of nature), or otherwise abandon your Basecamp Studio, or forfeit the right to do or transact business in the jurisdiction where your Basecamp Studio is located, or lose the right to possession of the premises in which your Basecamp Studio operates;
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- you or any of your owners make an unauthorized Transfer under this Agreement;
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- you or any of your owners are proven to have engaged in fraudulent conduct, or are convicted of, or plead guilty or no contest to a felony or a crime involving moral turpitude, or any other crime or offense that we believe is reasonably likely to have an adverse effect on the System, the Marks or the goodwill associated therewith;
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- you are given three (3) or more notices of being in material violation of any of the terms or requirements of this Agreement within any twelve (12) month period, whether or not such defaults are timely cured after notice;
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- you misuse or make any unauthorized use of the Marks and do not cease such misuse or unauthorized use within twenty-four (24) hours' notice from us;
Source: Item 22 — CONTRACTS (FDD pages 61–62)
What This Means (2025 FDD)
According to Basecamp Fitness's 2025 Franchise Disclosure Document, the franchise agreement can be terminated under specific circumstances, which would then terminate your right to use the Basecamp Fitness Marks and System. Basecamp Fitness can terminate the agreement without notice if you are liquidated or dissolved, if the Basecamp Studio is not constructed according to approved plans and deficiencies aren't remedied within 30 days of notice, or if you fail to operate for seven consecutive days (unless due to uncontrollable events), abandon the studio, or lose the right to do business at the studio's location.
Termination without notice can also occur if you or any owner makes an unauthorized transfer of the franchise, engages in fraudulent conduct, or is convicted of a felony that could adversely affect the Basecamp Fitness system. Additionally, Basecamp Fitness can terminate the agreement if you receive three or more notices of material violations within a 12-month period, regardless of whether the defaults are cured, or if you misuse the Marks and do not cease such misuse within 24 hours of notice.
Upon termination, you must immediately cease operating as a Basecamp Fitness franchisee and discontinue using all confidential information, the approved Information System, the Marks, and any similar names or logos. You must also return the Manual and any other property belonging to Basecamp Fitness, and modify the Basecamp Studio premises to differentiate it from the Basecamp Fitness system, including removing signage and altering the color scheme. These terms are typical in franchise agreements to protect the brand and maintain consistency across all franchise locations.
These termination conditions are designed to protect the Basecamp Fitness brand and ensure consistent operation across all franchise locations. Prospective franchisees should carefully review these conditions to understand their obligations and the potential consequences of non-compliance. It is important to maintain open communication with Basecamp Fitness and address any issues promptly to avoid potential termination of the franchise agreement.