Under what conditions might Beem Light Sauna extend a Signing Deadline or Opening Deadline?
Beem_Light_Sauna Franchise · 2025 FDDAnswer from 2025 FDD Document
different fees (though no Franchise Fee shall be owed under such agremeent) and territorial rights. You must sign a Franchise Agreement for a Studio before you may execute a lease, sublease, or purchase agreement intended for such Studio or commence construction of such Studio. We will not be obligated to offer you a Franchise Agreement for a Studio unless:
- 1. we have complied with all applicable franchise registration and disclosure laws and, if required by applicable laws, have provided you with a copy of our then-current Franchise Disclosure Document; and
- 2. you and any Affiliated Entities have fully complied with any Franchise Agreements that are in effect.
- 3.2 Deadlines. You must enter into Franchise Agreements and develop and open Studios in accordance with the deadlines set forth in the Development Schedule. Signing Deadline. By each "Signing Deadline" specified in the Development Schedule, you must have signed our then-current standard form of Franchise Agreement for the applicable number of Studios in the Development Area specified on the Development Schedule. Opening Deadline. By each "Opening Deadline" specified in the Development Schedule, you must have the applicable number of Studios in the Development Area open and operating. Discretionary Extension. We may, in our sole discretion, extend any Signing Deadline or any Opening Deadline, which we may condition on your payment of an Extension Fee and execution of a general release. The "Extension Fee" for each Studio will be $2,500 per month (or portion of a month) that the Signing Deadline or Opening Deadline for such Studio is extended. Any extension that we grant you (or your Affiliated Entity) will apply only to the Studios for which you (or your Affiliated Entity) obtained the extension and will not extend, delay, or otherwise impact any other deadline under the Development Schedule. Disclosure Extension.
Source: Item 23 — RECEIPT (FDD pages 71–230)
What This Means (2025 FDD)
According to Beem Light Sauna's 2025 Franchise Disclosure Document, the franchisor may extend the Signing Deadline or Opening Deadline under certain circumstances. Beem Light Sauna has the discretion to grant an extension for either deadline, but may require the franchisee to pay an Extension Fee and execute a general release. The Extension Fee is $2,500 per month (or portion thereof) for each studio that the deadline is extended.
If Beem Light Sauna is unable to deliver a required Franchise Disclosure Document in a timely manner, potentially due to registration issues or amendments, the Signing Deadline and Opening Deadline will be adjusted to account for the delay in providing the FDD. In this case, the franchisee will not be required to pay an Extension Fee or execute a general release.
If a Studio is destroyed or damaged by any cause beyond the franchisee's control such that it may no longer continue to be open for the operation of business, the franchisee must immediately give Beem Light Sauna notice of such destruction or damage. This clause addresses unforeseen events that could impact a franchisee's ability to meet the agreed-upon deadlines.