Will Belocal's failure to object to a breach of the agreement be considered a waiver of or consent to that breach or any subsequent breach?
Belocal Franchise · 2025 FDDAnswer from 2025 FDD Document
Any failure by Franchisor to object to or take action with respect to any breach of any provision of this Agreement by Covenantor will not operate or be construed as a waiver of or consent to that breach or any subsequent breach by Covenantor.
Source: Item 22 — CONTRACTS (FDD page 71)
What This Means (2025 FDD)
According to Belocal's 2025 Franchise Disclosure Document, the franchisor's failure to object to a breach of the agreement by the Covenantor (franchisee) will not be considered a waiver of or consent to that breach, nor will it prevent Belocal from taking action on any subsequent breaches. This is explicitly stated in the contract terms.
This provision protects Belocal's right to enforce the franchise agreement, even if they don't immediately address every single violation. For a franchisee, this means that even if a particular action or oversight isn't immediately flagged as a problem, it doesn't set a precedent or excuse future non-compliance. Belocal retains the right to enforce all terms of the agreement fully at any time.
This type of clause is common in franchise agreements. It provides the franchisor with flexibility in managing the network and addressing breaches without inadvertently relinquishing their rights. However, franchisees should still aim for full compliance with the agreement, as Belocal's inaction on one instance doesn't guarantee the same response in the future.