Under what conditions can a Better Blend franchisee terminate the franchise agreement?
Better_Blend Franchise · 2024 FDDAnswer from 2024 FDD Document
| Provision | Section in franchise | Summary |
|---|---|---|
| d. Termination by | FA: § 14.1 | If we violate a material provision of the |
| franchisee | ||
| MUDA: § 4 | franchise agreement and fail to cure or to make | |
| substantial progress toward curing the violation | ||
| within 30 days after notice from you. | ||
| If you sign a MUDA, you may terminate it at | ||
| any time. |
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER, AND DISPUTE RESOLUTION (FDD pages 34–38)
What This Means (2024 FDD)
According to Better Blend's 2024 Franchise Disclosure Document, a franchisee can terminate the franchise agreement if Better Blend violates a material provision of the agreement. To do so, the franchisee must provide written notice to Better Blend of the violation. Better Blend then has 30 days to either cure the violation or make substantial progress toward curing it. If Better Blend fails to meet this requirement, the franchisee can terminate the agreement.
If a Better Blend franchisee signs a Multi-Unit Development Agreement (MUDA), they have the option to terminate the MUDA at any time. However, it is important to note that the termination of the MUDA by the franchisee does not give Better Blend the right to terminate the franchise agreement. Conversely, if Better Blend terminates the franchise agreement, they do have the right to terminate the MUDA.
It is important for prospective Better Blend franchisees to understand the conditions under which they can terminate the franchise agreement, as well as the implications of terminating a MUDA. Franchisees should carefully review the franchise agreement and MUDA, and seek legal counsel if necessary, to fully understand their rights and obligations.