Does acceptance of payment after a breach waive Best In Class Education Center's rights?
Best_In_Class_Education_Center Franchise · 2025 FDDAnswer from 2025 FDD Document
Neither party is deemed to have waived or impaired any of its rights under this Agreement, including the right to require strict compliance with all terms of this Agreement or terminate this Agreement if the other party fails to comply with such terms, by virtue of: (a) any custom or practice of the parties at variance with the terms of this Agreement; (b) any failure, refusal or neglect by a party to exercise any right under this Agreement or require the other party to strictly comply with any term of this Agreement; (c) our waiver, failure or refusal to exercise any of our rights with respect to other franchisees; or (d) our acceptance of payment from you after your breach.
Source: Item 23 — RECEIPT (FDD pages 47–204)
What This Means (2025 FDD)
According to the 2025 Best In Class Education Center FDD, the company's acceptance of payment from a franchisee after a breach does not automatically waive or impair any of its rights under the franchise agreement. This includes the right to demand strict compliance with all terms of the agreement or to terminate the agreement if the franchisee fails to comply with those terms.
This provision protects Best In Class Education Center by ensuring that they can continue to receive payments without inadvertently relinquishing their ability to enforce the franchise agreement's terms. It allows them to address breaches on a case-by-case basis without setting a precedent of condoning non-compliance.
For a prospective franchisee, this means that even if Best In Class Education Center accepts payments after a breach has occurred, the franchisee is still responsible for correcting the breach and adhering to all terms of the franchise agreement. Failing to do so could still result in further action from the franchisor, including potential termination of the franchise agreement. This clause highlights the importance of maintaining compliance with the franchise agreement at all times.