For Beggars Pizza, what is the customer's obligation to prevent automatic renewal of the agreement?
Beggars_Pizza Franchise · 2025 FDDAnswer from 2025 FDD Document
Thereafter, unless otherwise stated in the Quote, this Agreement will automatically renew for successive periods equal to the Initial Term as set forth in the Quote, (each a "Renewal Term"), beginning at the end of the Initial Term or the then current Renewal Term, as the case may be, unless Customer provides notice of termination not less than 30 days before the end of the Initial Term or the then current Renewal Term, as applicable.
Source: Item 23 — RECEIPT (FDD pages 39–192)
What This Means (2025 FDD)
According to the 2025 FDD, the agreement between SpeedLine and the customer will automatically renew for 12-month terms unless the customer provides notice of termination. To prevent automatic renewal, the customer must give written notice to SpeedLine at least 30 days before the end of the current initial or renewal term.
This means that a Beggars Pizza franchisee using SpeedLine's services must actively manage their agreement to avoid unwanted renewals. If the franchisee does not provide the required notice within the specified timeframe, the agreement will automatically extend for another 12 months, committing them to additional fees and obligations.
It is important for prospective Beggars Pizza franchisees to carefully review the terms of their agreements with third-party vendors like SpeedLine and set reminders to evaluate their needs and provide timely notice of termination if they do not wish to continue the service. Failing to do so can result in unexpected costs and continued obligations under the agreement.