factual

How long does a Better Blend Franchisee have to cure noncompliance before being charged the Non-Compliance Fee?

Better_Blend Franchise · 2024 FDD

Answer from 2024 FDD Document

mployee to BBF's training program after opening, BBF may charge its then-current training fee. As of the date of this Agreement, the training fee is $250 per person per day.

  • 4.6 Non-Compliance Fee. BBF may charge Franchisee $500 for each instance of noncompliance with the System Standards or this Agreement (other than Franchisee's non-payment of a fee owed to BBF) which Franchisee fails to cure after 30 days' notice. Thereafter, BBF may charge Franchisee $250 per week until Franchisee ceases such non-compliance. This fee is a reasonable estimate of BBF's internal cost of personnel time attributable to addressing the noncompliance, and it is not a penalty or estimate of all d

Source: Item 22 — CONTRACTS (FDD page 43)

What This Means (2024 FDD)

According to Better Blend's 2024 Franchise Disclosure Document, a franchisee has 30 days after notice to cure noncompliance with System Standards or the Franchise Agreement before incurring a Non-Compliance Fee. This excludes non-payment of fees owed to Better Blend.

After the 30-day cure period, Better Blend may charge the franchisee $500 for the initial instance of noncompliance. If the noncompliance continues beyond this initial charge, Better Blend can then impose an additional fee of $250 per week until the franchisee rectifies the issue.

The FDD specifies that these fees are designed to cover Better Blend's internal costs related to addressing the noncompliance and are not considered a penalty. These non-compliance fees are in addition to any other legal rights or remedies Better Blend may pursue, including default or termination of the franchise agreement.

Disclaimer: This information is extracted from the 2024 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.