According to the Bft Multi-Unit Agreement, what dictates the length of the term?
Bft Franchise · 2025 FDDAnswer from 2025 FDD Document
| Provision | Section in Multi-Unit Agreement | Summary | |
|---|---|---|---|
| a. | Length of the term of the Multi-Unit Agreement | Section 2.A, Exhibit A | The Development Schedule will dictate the amount of time you have to open a specific number of franchises, which will differ for each Developer. |
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 57–66)
What This Means (2025 FDD)
According to Bft's 2025 Franchise Disclosure Document, the length of the Multi-Unit Agreement term is determined by the Development Schedule. The Development Schedule outlines the timeframe a developer has to open a specific number of Bft franchises. This timeframe will vary for each developer based on their individual agreement.
Prospective multi-unit franchisees should carefully review the Development Schedule outlined in their Multi-Unit Agreement to understand the specific timeframes and obligations for opening new Bft locations. Failure to adhere to the Development Schedule can have consequences, potentially impacting the agreement's term.
Bft does allow for a one-time extension of up to 90 days to comply with the Development Schedule if the developer has already signed a lease for the applicable premises and requests the extension at least 30 days prior to the development deadline. This provides a limited opportunity to address unforeseen delays, but it is crucial to meet the initial deadlines to avoid relying on this extension.