Under what conditions can either party terminate the Beggars Pizza agreement?
Beggars_Pizza Franchise · 2025 FDDAnswer from 2025 FDD Document
The Agreement will become effective on the Agreement Date and, except as otherwise provided in the Agreement, will remain in full force and effect until the sooner of the expiration or termination of the Franchise Agreement (the "Term"). The Agreement will automatically terminate upon the termination of the Franchise Agreement. Either party will have the right to terminate the Agreement upon thirty (30) days prior written notice and opportunity to cure if a material default by the other party occurs.
Source: Item 23 — RECEIPT (FDD pages 39–192)
What This Means (2025 FDD)
According to the 2025 Beggars Pizza Franchise Disclosure Document, the agreement between the franchisee and the supplier can be terminated under specific conditions. The agreement remains effective until the franchise agreement expires or is terminated.
Either party, whether it's the franchisee or the supplier, has the right to terminate the agreement if a material default occurs by the other party. However, this termination is contingent upon providing thirty (30) days prior written notice and an opportunity to cure the default. This means that the party in default has a 30-day window to correct the issue after receiving written notification.
Additionally, the agreement will automatically terminate if the Franchise Agreement between the franchisee and Beggars Pizza is terminated. This clause ensures that the supply agreement is directly tied to the franchisee's ongoing operation of the Beggars Pizza restaurant. This is a fairly standard clause, as the supplier agreement is predicated on the franchisee's operation of the Beggars Pizza business.