What is the cure period allowed to Big Blue Swim School for breach of the License Agreement?

According to Big Blue Swim School's 2025 Franchise Disclosure Document, Big Blue IP may terminate the License Agreement immediately if they breach the License Agreement and fail to cure the breach within 30 days after receiving written notice from Big Blue IP. The License Agreement allows Big Blue IP to license trademarks and related intellectual property to Big Blue Swim School, which in turn authorizes franchisees to use them in operating their swim schools. The initial term of this License Agreement is 20 years, with renewal options for 3 successive 10-year terms. Big Blue Swim School has the right to terminate the License Agreement at any time.

This 30-day cure period is a standard provision in franchise agreements, providing an opportunity for Big Blue Swim School to rectify any breaches before Big Blue IP terminates the agreement. This timeframe allows for resolution of issues and continuation of the franchise relationship. However, it's crucial for prospective franchisees to understand what constitutes a breach of the License Agreement and the potential consequences of failing to cure within the specified period.

It is important to note that upon termination or expiration of the License Agreement, Big Blue Swim School must cease using and sublicensing the Marks and related intellectual property. However, any Big Blue Swim School franchisee that has been authorized to use the Marks in its franchise may continue using the Marks until that franchisee's franchise agreement, and any permitted successor franchise agreement, expire or are terminated, but only if the franchisee continues to comply with its obligations in the franchise agreement and any permitted successor franchise agreement during their remaining terms.