Regarding enforcement of covenants in the Bft Franchise Agreement, what sections are modified or deleted concerning post-termination restrictions?

According to the 2025 Bft Franchise Disclosure Document, there are modifications to the enforcement of covenants, specifically concerning post-termination restrictions. The first and second sentences of Section 13.3(A) of the Franchise Agreement will not apply with respect to the post-termination restrictions in Section 13.1(B). Additionally, the first sentence of Section 13.3(B) of the Franchise Agreement is deleted entirely.

These modifications impact how Bft enforces post-termination restrictions on franchisees. By removing the specified sentences in Sections 13.3(A) and 13.3(B), the franchisor is altering the legal mechanisms it can use to ensure franchisees comply with non-compete and confidentiality agreements after the franchise agreement ends. This could affect the scope and enforceability of these restrictions.

For a prospective Bft franchisee, this means the standard enforcement clauses are being adjusted, potentially weakening the franchisor's ability to prevent former franchisees from engaging in competitive activities. Franchisees should carefully review Sections 13.1(B), 13.3(A), and 13.3(B) of the Franchise Agreement to understand the exact nature of the original clauses and how their modification affects their rights and obligations post-termination. It would be prudent to seek legal counsel to fully understand the implications of these changes.