Does Big Blue Swim School have to extend the development schedule if they delay a Big Blue Swim School's opening?
Big_Blue_Swim_School Franchise · 2025 FDDAnswer from 2025 FDD Document
rights under this DRA.
After you and your owners (or your Approved Affiliate and its owners) sign the franchise agreement (and related documents) and SaaS Agreement for a BIG BLUE Swim School, their terms and conditions will control the construction, development, and operation of the BIG BLUE Swim School (except that the required opening deadline is governed exclusively by the Schedule in this DRA, except as expressly provided in Section 2(d) above).
- (f) In addition to our rights with respect to proposed BIG BLUE Swim School sites, we have the right to delay the construction, development, and/or opening of additional BIG BLUE Swim Schools within the Territory for the time period we deem best if at any time we believe that such delay is in the best interests of the brand or the franchise network, including for reasons related to lack of sites that meet our criteria, supply chain issues, or our assessment in our sole judgment that you (or your Approved Affiliate) are not yet operationally, managerially, or otherwise prepared (no matter the reason) for the construction, development, opening, and/or operation of the additional BIG BLUE Swim School in full compliance with our standards and specifications. We have the right to delay additional development and/or a BIG BLUE Swim School's opening for the time period we deem best as long as the delay will not in our reasonable opinion cause you to breach your development obligations under the Schedule (unless we are willing to extend the Schedule proportionately to account for the delay).
-
- Term. This DRA's term begins on the Effective Date and ends on the date when (a) you (or your Approved Affiliate) open for business the final BIG BLUE Swim School to be constructed and developed under the Schedule, or (b) this DRA otherwise is terminated, but in any event this DRA's term will end no later than .
-
- Termination.
Source: Item 23 — RECEIPTS (FDD pages 76–278)
What This Means (2025 FDD)
According to the 2025 FDD, Big Blue Swim School has the right to delay the construction, development, and/or opening of additional swim schools within the territory if they believe it is in the best interest of the brand or franchise network. This includes reasons such as a lack of suitable sites, supply chain issues, or if Big Blue Swim School assesses that the franchisee is not yet prepared operationally, managerially, or otherwise.
Big Blue Swim School can delay development or a school's opening as long as the delay, in their reasonable opinion, will not cause the franchisee to breach their development obligations under the schedule. However, Big Blue Swim School may be willing to extend the schedule proportionately to account for the delay.
If a franchisee obtains an extension under one of their franchise agreements, it will only apply to the specific Big Blue Swim School for which the extension was granted. This extension will not extend, delay, or otherwise impact any other deadline under the development schedule. To retain rights under the Development Rights Agreement (DRA), each Big Blue Swim School must operate continuously throughout the DRA's term in full compliance with its franchise agreement.