What is the consequence if a Better Blend franchisee or any Owner is convicted of a felony?

According to Better Blend's 2024 Franchise Disclosure Document, if a franchisee or any owner is charged with, pleads guilty or no-contest to, or is convicted of a felony, Better Blend Franchising, LLC (BBF) has grounds to terminate the Franchise Agreement.

Additionally, BBF can terminate the Franchise Agreement if a franchisee or any owner is accused by any governmental authority or third party of any act, or commits any act or series of acts, that in BBF's opinion is reasonably likely to materially and unfavorably affect the Better Blend brand. This clause provides Better Blend with broad discretion to terminate the agreement based on actions that could harm its brand reputation.

Upon termination of the Franchise Agreement, the franchisee must immediately cease operating the Better Blend business and fulfill all obligations that survive termination, such as those related to non-competition, confidentiality, indemnity, and dispute resolution. This means the franchisee could be restricted from operating a similar business in the same area for a specified period and must continue to protect Better Blend's confidential information.