How does the Wisconsin Fair Dealership Law affect the termination of a Basecamp Fitness franchise in Wisconsin?
Basecamp_Fitness Franchise · 2025 FDDAnswer from 2025 FDD Document
Notwithstanding anything to the contrary in the Basecamp Fitness Franchisor LLC Franchise Disclosure Document, the following provisions shall supersede any inconsistent provisions and apply to all Basecamp Fitness franchises offered and sold in the state of Wisconsin:
The Wisconsin Fair Dealership Law applies to most franchise agreements in the state and prohibits termination, cancellation, non-renewal or substantial change in competitive circumstances of a dealership agreement without good cause. The law further provides that 90 days prior written notice of the proposed termination, etc. must be given to the dealer. The dealer has 60 days to cure the deficiency and if the deficiency is so cured the notice is void. The Disclosure Document, Franchise Agreement and Development Agreement are hereby modified to state that the Wisconsin Fair Dealership Law, to the extent applicable, supersedes any provision of the Franchise Agreement or Development Agreement that are inconsistent with the law Wis.Stat.Ch.135, the Wisconsin Fair Dealership Law, § 32.06(3), Wis.Code.
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER, AND DISPUTE RESOLUTION (FDD pages 51–55)
What This Means (2025 FDD)
According to Basecamp Fitness's 2025 Franchise Disclosure Document, the Wisconsin Fair Dealership Law impacts franchise agreements within the state, including those for Basecamp Fitness. This law generally protects franchisees from termination, cancellation, non-renewal, or significant changes in competitive circumstances without 'good cause'.
Specifically, Basecamp Fitness must provide a franchisee in Wisconsin with 90 days' prior written notice before any proposed termination, cancellation, or non-renewal of the franchise agreement. This notice period allows the franchisee an opportunity to address and 'cure' any identified deficiencies within 60 days. If the franchisee successfully rectifies the issues within this timeframe, the termination notice becomes void.
This provision is crucial for prospective Basecamp Fitness franchisees in Wisconsin as it provides a legal framework for fair treatment and protection against potentially arbitrary or unfair termination. The FDD explicitly states that the Wisconsin Fair Dealership Law supersedes any conflicting terms in the standard Franchise Agreement or Development Agreement, reinforcing the importance of understanding these state-specific protections. Therefore, franchisees should be aware of their rights and obligations under Wisconsin law to ensure compliance and safeguard their investment.