What is Section 5 of the Beem Light Sauna Development Agreement about?
Beem_Light_Sauna Franchise · 2025 FDDAnswer from 2025 FDD Document
| Provision | Section in Development Agreement | Summary | |
|---|---|---|---|
| a. | Length of the franchise term | Section 5 | Unless earlier terminated, the term expires at midnight on the earlier of (i) the last Opening Deadline date listed on the Development Schedule, or (ii) the opening of the last Studio to be developed pursuant to the Development Schedule. |
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER, AND DISPUTE RESOLUTION THE FRANCHISE RELATIONSHIP (FDD pages 55–62)
What This Means (2025 FDD)
According to Beem Light Sauna's 2025 Franchise Disclosure Document, Section 5 of the Development Agreement pertains to the length of the franchise term. Specifically, it dictates when the agreement will expire.
Section 5 states that the Beem Light Sauna Development Agreement, unless terminated earlier, will expire at midnight on the earlier of two possible dates. The first is the last Opening Deadline date listed on the Development Schedule. The second is the date of the opening of the last studio to be developed according to the Development Schedule.
For a prospective Beem Light Sauna franchisee, this means understanding the Development Schedule is crucial. The agreement's term is directly tied to the deadlines for opening studios. Franchisees should pay close attention to these dates to ensure they meet the obligations and understand when their development rights will expire.