For Best In Class Education Center, what happens to the provisions of the agreement after termination?
Best_In_Class_Education_Center Franchise · 2025 FDDAnswer from 2025 FDD Document
Email: hao@bestinclasseducation.com
certain rights to Franchisor as set forth below.
Mail: BiC Franchise System Corporation
4820 NE 4th St., Suite A-107 Renton, Washington 98059
Attention: Hao Lam
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- Right to Cure. If Tenant defaults under the Lease, Franchisor has the right (but not the duty) to cure such default within 15 days following the expiration of any applicable cure period. In such event, Franchisor may immediately commence occupancy of the Premises as the tenant under the Lease without obtaining Landlord's or Tenant's consent. Franchisor may thereafter assign the Lease to another Best In Class Education Center franchisee or to an entity owned and/or controlled by Franchisor. If it does, Franchisor must first obtain Landlord's written approval of the assignee. Landlord, however, must neither unreasonably withhold nor delay its approval thereof. Landlord will acknowledge any such assignment in writing. No assignment permitted under this Section is subject to any assignment or similar fee or will cause any rental acceleration.
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- Right to Assign. At any time (including, without limitation, upon the expiration or termination of the Franchise Agreement), and without Landlord's prior consent, Tenant may assign the Lease to Franchisor. In such event, Franchisor may thereafter assign the Lease to another Best In Class Education Center franchisee or to an entity owned and/or controlled by Franchisor. If it does, Franchisor must first obtain Landlord's written approval of the assignee. Landlord, however, must neither unreasonably withhold nor delay its approval thereof. Landlord will acknowledge any such assignment in writing. No assignment permitted under this Section is subject to any assignment or similar fee or will cause any rental acceleration.
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- Right of First Refusal. Landlord hereby grants Franchisor the first right of refusal to lease the Premises as the new tenant upon the expiration or termination of the Lease. Franchisor shall have a period of 30 days after the expiration or termination of the Lease to decide whether to exercise its right of first refusal.
Source: Item 23 — RECEIPT (FDD pages 47–204)
What This Means (2025 FDD)
Based on the 2025 Franchise Disclosure Document, the excerpts provided do not specify what happens to the provisions of the Best In Class Education Center franchise agreement after termination. However, the document does address intellectual property, the use of marks, and the rights of the franchisor regarding the lease of the premises. Specifically, the franchisee acknowledges that the franchisor owns the intellectual property and that the franchisee's right to use it is limited to the term of the agreement.
Additionally, the franchisor has the right to change the intellectual property at any time and the franchisee must implement these changes. The franchisee must use the marks as the sole identification of their center and display them as prescribed. The franchisor also has certain rights regarding the lease, including the right to cure defaults, assign the lease, and a right of first refusal to lease the premises upon termination of the lease.
To fully understand the implications of termination, a prospective Best In Class Education Center franchisee should seek clarification from the franchisor regarding which specific provisions of the franchise agreement remain in effect after termination. This includes obligations related to non-compete clauses, customer confidentiality, and any ongoing financial responsibilities. Understanding these post-termination obligations is crucial for making an informed investment decision.