Besides termination, what other rights does the Bft Franchisor have if the Franchisee breaches the agreement?
Bft Franchise · 2025 FDDAnswer from 2025 FDD Document
K. Termination or expiration of this Agreement shall not affect, modify or discharge any claims, rights, causes of action or remedies, which Franchisor may have against Franchisee, whether under this Agreement or otherwise, for any reason whatsoever, whether such claims or rights arise before or after termination.
15.4 Franchisor's Rights and Remedies in Addition to Termination.
If Franchisee shall be in default in the performance of any of its obligations or breach any term or condition of this Agreement, in addition to Franchisor's right to terminate this Agreement, and without limiting any other rights or remedies to which Franchisor may be entitled at law or in equity, or if Franchisor has issued a notice to Franchisee in exercise of its rights to purchase the Studio under Section 15.3.I above, then, Franchisor may, at its election, immediately or at any time thereafter, and without notice to Franchisee, cure such default on Franchisee's behalf and, in its discretion, either directly or through its designee, enter upon and take possession of the Studio, for a period not to exceed 180 days, and thereafter take, in the name of Franchisee, all other actions necessary to effect the provisions of this Agreement. Franchisee agrees that any such entry or other action shall not be deemed a trespass or other illegal act, and Franchisor shall not be liable in any manner to Franchisee for so doing, and Franchisee shall pay the entire cost thereof to Franchisor on demand, including reasonable compensation to Franchisor for the management of the Studio. If Franchisor exercises its rights under this Section, then Franchisor is not required to use Franchisee's employees and reserves the right to designate its own personnel to manage and operate the Studio.
Source: Item 23 — RECEIPTS (FDD pages 79–265)
What This Means (2025 FDD)
According to Bft's 2025 Franchise Disclosure Document, besides the right to terminate the franchise agreement, Bft has additional rights and remedies if a franchisee defaults on their obligations or breaches the agreement. Bft can choose to cure the default on the franchisee's behalf without prior notice. This includes entering and taking possession of the studio, either directly or through a designee, for up to 180 days. During this period, Bft can take any actions necessary to enforce the franchise agreement in the franchisee's name.
This entry and possession of the studio will not be considered a trespass or illegal act, and Bft will not be liable to the franchisee for taking such actions. The franchisee is responsible for paying all costs associated with Bft's actions, including reasonable compensation for Bft's management of the studio. Bft also has the right to designate its own personnel to manage and operate the studio instead of using the franchisee's employees.
Furthermore, the termination or expiration of the agreement does not impact any claims, rights, causes of action, or remedies that Bft may have against the franchisee, whether these arise before or after the termination. These rights are in addition to any other legal or equitable remedies available to Bft. These stipulations provide Bft with significant control and recourse in the event of a franchisee's breach, allowing them to protect their brand and system while holding the franchisee accountable for their obligations.