After termination or expiration of the Bft agreement, can the Franchisor still pursue claims against the Developer?

According to Bft's 2025 Franchise Disclosure Document, the termination or expiration of the Development Agreement does not impact any claims, rights, or causes of action that Bft may have against the Developer. This means that even after the agreement ends, Bft retains the right to pursue legal remedies against the Developer for any reason, whether the claims arose before or after the termination or expiration date. This provision ensures that Bft can seek compensation or other remedies for any breaches or violations of the agreement, regardless of whether the agreement is still in effect.

This clause is significant for prospective Bft developers because it highlights the enduring nature of their obligations and potential liabilities to Bft. Even after the Development Agreement concludes, the developer remains accountable for any actions or omissions that could give rise to a claim by Bft. This could include breaches of contract, violations of intellectual property rights, or any other cause of action that Bft may have against the developer.

For a prospective franchisee, this clause underscores the importance of adhering to the terms and conditions of the Development Agreement and maintaining open communication with Bft throughout the duration of the agreement. It also emphasizes the need to seek legal counsel to fully understand the potential liabilities and obligations that extend beyond the termination or expiration of the agreement. Franchisees should carefully document all interactions and transactions with Bft to protect their interests in the event of a dispute.