What constitutes abandonment of a Bft studio according to the franchise agreement?
Bft Franchise · 2025 FDDAnswer from 2025 FDD Document
- (4) Franchisee voluntarily or otherwise abandons the Studio.
For purposes of this Agreement, the term "abandon" means: (i) failure to actively operate the Studio for more than two (2) business days without Franchisor's prior written consent; or (ii) any other conduct on the part of Franchisee or its principals that Franchisor determines indicates a desire or intent to discontinue operating the Studio in accordance with this Agreement or the Learning Management System;
Source: Item 23 — RECEIPTS (FDD pages 79–265)
What This Means (2025 FDD)
According to Bft's 2025 Franchise Disclosure Document, abandonment of the studio has specific meanings within the franchise agreement. It is important for prospective franchisees to understand these conditions, as abandonment can lead to termination of the franchise agreement.
Bft defines abandonment as either failing to actively operate the studio for more than two business days without prior written consent from Bft, or any conduct by the franchisee or its principals that Bft determines indicates a desire or intent to discontinue operating the studio in accordance with the franchise agreement or the Learning Management System. This definition provides Bft with broad discretion to determine what constitutes an intent to discontinue operations.
For a prospective Bft franchisee, this means that consistently operating the studio and maintaining open communication with Bft is crucial. Any planned closures, even for short periods, should be communicated and approved in writing by Bft to avoid being classified as abandonment. Furthermore, franchisees should be aware that any actions that could be interpreted as a desire to cease operations could also be grounds for Bft to declare abandonment.