Does Better Blend have to provide notice to a franchisee before curing a default?
Better_Blend Franchise · 2024 FDDAnswer from 2024 FDD Document
14.2 Termination by BBF.
- (a) Subject to 10-Day Cure Period.
BBF may terminate this Agreement if Franchisee does not make any payment to BBF when due, or if Franchisee does not have sufficient funds in its account when BBF attempts an electronic funds withdrawal, and Franchisee fails to cure such non-payment within 10 days after BBF gives notice to Franchisee of such breach.
- (b) Subject to 30-Day Cure Period.
If Franchisee breaches this Agreement in any manner not described in subsection (a) or (c), and Franchisee fails to cure such breach to BBF's satisfaction within 30 days after BBF gives notice to Franchisee of such breach, then BBF may terminate this Agreement.
- (c) Without Cure Period.
BBF may terminate this Agreement by giving notice to Franchisee, without opportunity to cure, if any of the following occur:
(i) Franchisee misrepresented or omitted material facts when applying to be a franchisee, or breaches any representation in this Agreement;
(ii) Franchisee knowingly submits any false report or knowingly provides any other false information to BBF;
Source: Item 22 — CONTRACTS (FDD page 43)
What This Means (2024 FDD)
According to Better Blend's 2024 Franchise Disclosure Document, Better Blend provides different cure periods depending on the nature of the default.
For non-payment defaults, Better Blend may terminate the agreement if the franchisee fails to cure the non-payment within 10 days after receiving notice of the breach from Better Blend. For other breaches not described as non-payment or those that can be terminated without a cure period, Better Blend may terminate the agreement if the franchisee fails to cure the breach within 30 days after Better Blend provides notice.
However, Better Blend can terminate the franchise agreement without providing an opportunity to cure for certain defaults, including misrepresentation or omission of material facts when applying to be a franchisee, knowingly submitting any false report, or knowingly providing any other false information to Better Blend.