What clauses of the Bevaris Alliance agreement deal with survival after termination?
Bevaris_Alliance Franchise · 2024 FDDAnswer from 2024 FDD Document
- 19.1 Survival. On termination or expiration of this agreement for any reason:
- (a) Any provision of this agreement that expressly or by implication is intended to come into or continue in force on or after termination or expiration of this agreement, including clause 19, clause 20, clause 21, clause 22, clause 23, clause 24, clause 27.2, clause 27.3, clause 27.9, clause 27.13, clause 27.14, or clause 27.15 shall remain in full force and effect; and
- (b) Clause 19, clause 20, clause 21, clause 22, clause 23, clause 24, clause 27.2, clause 27.3, clause 27.9, clause 27.13, clause 27.14, and clause 27.15 shall continue in force for a period of twenty four (24) months and subject to this clause 19, the parties shall have no further obligations under this agreement.
- 19.2 Accrued rights. Any termination or expiration of this agreement shall not affect any rights or liabilities that have accrued prior to such termination.
Source: Item 23 — RECEIPT (FDD pages 22–88)
What This Means (2024 FDD)
According to the 2024 Bevaris Alliance Franchise Disclosure Document, several clauses address what happens after the franchise agreement terminates or expires. Specifically, clause 19.1(a) states that any provision intended to continue after termination, either explicitly or implicitly, remains in effect. This includes clauses 19, 20, 21, 22, 23, 24, 27.2, 27.3, 27.9, 27.13, 27.14, and 27.15.
Additionally, clause 19.1(b) specifies that clauses 19, 20, 21, 22, 23, 24, 27.2, 27.3, 27.9, 27.13, 27.14, and 27.15 remain in force for 24 months following termination or expiration. After this 24-month period, the parties generally have no further obligations under the agreement, subject to the conditions outlined in clause 19. Clause 19.2 clarifies that termination or expiration does not affect any rights or liabilities that accrued before the termination date.
These survival clauses are common in franchise agreements to protect the franchisor's interests and ensure a smooth transition after a franchise ends. They cover aspects like ongoing obligations, restrictions, and legal matters that may extend beyond the term of the agreement. Prospective Bevaris Alliance franchisees should carefully review these clauses to understand their responsibilities and limitations even after the franchise relationship concludes.