After the termination, cancellation, expiration, or assignment of the Bhc Master Franchise Agreement, does this affect the Franchisor's rights against the Master Franchisee?

According to Bhc's 2025 Franchise Disclosure Document, the termination, cancellation, expiration, or assignment of the Master Franchise Agreement does not prejudice any of Bhc's rights against the Master Franchisee. The termination, cancellation, expiration, or assignment will not relieve the Master Franchisee of any obligations to Bhc existing at the time of the event. It also does not terminate those obligations of Bhc which, by their nature, survive the termination, cancellation, expiration, or assignment of the Agreement.

This means that even after the agreement ends, Bhc retains the right to pursue any legal or financial claims against the Master Franchisee that existed during the term of the agreement. The Master Franchisee remains responsible for fulfilling any outstanding obligations, such as unpaid fees or required actions, even after the franchise relationship has ended. This provision protects Bhc's interests and ensures that the Master Franchisee cannot avoid their responsibilities by simply terminating the agreement.

For a prospective franchisee, this clause highlights the importance of fulfilling all obligations under the Master Franchise Agreement. Failure to do so could result in legal action from Bhc even after the franchise term is over. It also underscores the need to carefully review the agreement to understand which obligations survive termination, cancellation, expiration, or assignment, as these will continue to be in effect even after the franchise relationship ends.